Which of the Following Statements Is (Are)true

question 61

Multiple Choice

Which of the following statements is (are) true?
(i) A merchant receives an invoice for $10,000 with terms 4/30,n/90.He/she should not take advantage of the discount if he/she can borrow money at r = 20%
(ii) A 60-day promissory note has a maturity value of $5000.Its price 30- days before maturity,at a rate of simple discount d = 4%,is $4983.56

• A)Both are true
• B)(i)only
• C)(ii)only
• D)Neither are true

---

Definitions:

Plaintiff

The party who initiates a lawsuit by filing a complaint with the court, alleging harm or wrongdoing by the defendant and seeking legal relief.

Superseding Cause

An intervening cause that alters the natural sequence of events and relieves the original party from liability in a legal context.

Unforeseeable

Situations or events that cannot be predicted or expected with any reasonable degree of certainty.

Wrongful Act

An action or inaction that is illegal or morally incorrect, often leading to legal liability or public condemnation.