In a Contract for Adam to Sell Carrie a Steam

question 69

True/False

In a contract for Adam to sell Carrie a steam boiler,Carrie's obligation to pay is conditioned upon her personal satisfaction with the boiler.Even though the boiler meets every mechanical test imaginable,Carrie refuses to pay because she just does not like the boiler for some reason.She is not obligated to pay,because the contract said that he must be personally satisfied,and a contract is a contract.

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Definitions:

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditures to the appropriate accounting period.

Debit

An accounting entry that results in either an increase in assets or a decrease in liabilities or equity on a company's balance sheet.

Credit

An accounting entry that increases liabilities or equity or represents a decrease in assets, also refers to the provision of resources based on trust.