If a Word of a Term in a Written Contract

question 61

Multiple Choice

If a word of a term in a written contract has _____, particular to the industry to which the parties belong, the court will give the term or word that meaning.

• A) ambiguous terms
• B) a handwritten term
• C) business banter
• D) a trade usage
• E) common words

Know the differences among various federal government spending categories and their economic impacts.

Appreciate the challenges and criticisms associated with the federal budget process.

Understand the concept of entitlement programs and their role in federal outlays.

Understand the concept of Net Present Value (NPV) and its relation to the cost of capital.

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Definitions:

Incremental Value

The additional worth or benefit gained from a specific action or investment, compared to the situation without it.

Equity-Financed

Describes investments or operations funded by raising capital through the sale of equity, or shares, rather than borrowing.

All-Stock Deal

A type of business acquisition or merger where payment is made entirely in the form of the acquiring company's shares, instead of cash or a combination of cash and shares.

Shares

Shares represent ownership stakes in a company or financial asset, equally splitting any profit distributions, known as dividends, if declared.