Match the Following Four Terms to Their Meanings

question 50

Multiple Choice

Match the following four terms to their meanings:
i.Financial functions
II.interest
III.rate
IV.Present value (Pv)

• A)amount charged to you when you borrow money
• B)amount of loan before any payments are made
• C)interest percentage of the loan amount
• D)prebuilt formulas that perform common business calculations

Distinguish between bilateral and unilateral contracts and their respective considerations.

Assess the role of adequacy of consideration in contract enforcement and exceptions related to fraud.

Explain the preexisting duty rule and its exceptions, including additional work and unforeseen circumstances.

Identify the characteristics and enforceability of illusory promises in contracts.

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Definitions:

Yield To Maturity

The total return anticipated on a bond if it is held until its maturity date, factoring in its current market price, face value, interest rates, and time to maturity.

Par Value

The nominal or face value of a bond, share of stock, or coupon as indicated on a bond or stock certificate.

Semi-Annually

Semi-annually refers to an event or action occurring twice a year, typically every six months.

Real Rate Of Return

The yearly return percentage on an investment, modified for price level changes caused by inflation or other external factors.