Which of the Following Requires a Written Contract to Be

question 55

Multiple Choice

Which of the following requires a written contract to be enforceable?

• A) Jon rents a luxury yacht for a month at a cost of $10,000.
• B) Lindsay borrows $5,000 from Robert to buy a car.
• C) Stanley's pit bull has just had a litter, and he agrees to sell you a puppy for $500 when the pups are weaned from their mother.
• D) Philip agrees to paint your house for $500.

---

Definitions:

Expense Accounts

Accounts used to record business expenses, which reduce net income in the profit and loss statement.

Income Summary

An account used in the closing process that summarizes revenues and expenses to determine the net income or loss for a period.

Debit

An accounting entry that increases an asset or expense account, or decreases a liability or equity account, recorded on the left-hand side.

Utilities Expense

Utilities Expense refers to the cost incurred from the consumption of utilities services like electricity, water, and gas in the course of business operations.