What Is a Purpose of a Premarital Agreement

question 15

Multiple Choice

What is a purpose of a premarital agreement?

• A) Protect assets in case the marriage ends by divorce
• B) Protect assets in case the marriage ends by death
• C) Explains how property belonging to each prospective spouse is to be characterized in case of dissolution
• D) All of the above

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Definitions:

Corporate Earnings

The profit a company makes after deducting its operating expenses and taxes, indicative of its financial health.

Adequacy

The sufficiency or appropriateness of something to fulfill a specific need, requirement, or condition.

Fraudulent

Involving deception, typically for personal gain or to damage another individual, often considered a white-collar crime.

Preemptive Rights

Rights that give existing shareholders the option to buy additional shares before the company offers them to the public, to maintain their proportionate ownership.