A Deliberate Change of an Important Element in a Written

question 29

True/False

A deliberate change of an important element in a written contract that affects the obligations of the parties is known as a material alteration.

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Definitions:

Total Assets

Total Assets represent the sum of all the assets owned by an entity, including both current and non-current assets.

Dividend Payout Ratio

A financial metric that shows the percentage of a company's earnings paid out to shareholders as dividends over a period.

Debt-Equity Ratio

A measure of a company's financial leverage, calculated by dividing its total liabilities by its shareholders' equity, indicating the proportion of debt used to finance assets.

Additional Debt

This refers to any extra borrowing taken on by an entity beyond its existing debt obligations.