Mason Corporation Borrows Funds for the Expansion of Its Business

question 13

Multiple Choice

Mason Corporation borrows funds for the expansion of its business.The loan is secured with the office building.Therefore,the office building serves as _____ for the loan.

• A)a liability
• B)a collateral
• C)a debt
• D)an insurance
• E)a corporate deposit

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Definitions:

Good Samaritan Statutes

Laws designed to provide legal protection to individuals who voluntarily provide aid or assistance to others in distress without expecting compensation.

Negligence

A legal concept where an individual fails to take reasonable care, resulting in damage or harm to another.

Reasonable Care

The legal obligation to act with a degree of caution and concern for the safety of others that an ordinarily prudent person would use in similar circumstances.

Trespass To Land

An unlawful intrusion onto property owned by another, leading to potential legal action by the property owner.