A Written Agreement That Grants Priority of Claim to Another

question 7

Multiple Choice

A written agreement that grants priority of claim to another party is called a/an:

• A) subordination agreement
• B) adjustment of priorities instrument
• C) second Lien
• D) latent claim

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Definitions:

Cost of Goods Sold

The total cost of manufacturing and delivering a product or service to consumers.

Inventory

The raw materials, work-in-process products, and finished goods that are considered to be the portion of a business's assets that are ready or will be ready for sale.

Cost of Goods Sold

The costs directly associated with the manufacturing of goods a company sells, encompassing both the price of materials and the wages for labor.

Inventory

The total amount of goods or materials held in stock by a business, intended for sale or production.