The Arrangements Between Buyer and Seller as to When Payments

question 184

Multiple Choice

The arrangements between buyer and seller as to when payments for merchandise are to be made are called

• A) credit terms
• B) net cash
• C) cash on demand
• D) gross cash

---

Definitions:

Consideration

Consideration is something of value exchanged between parties in a contract that makes the agreement legally binding.

Ethical Obligation

A moral responsibility to act in accordance with ethical principles.

Firm Offer

A legal concept in contract law where an offeror is bound to keep an offer open for a specified period, making it irrevocable even without consideration.

Promissory Estoppel

A legal principle that prevents a party from withdrawing a promise made to another when the latter has relied on that promise to their detriment.