When the Parties to a Contract Agree That Its Performance

question 32

True/False

When the parties to a contract agree that its performance should directly benefit a third person,the third person is an intended third party beneficiary.

Explain how natural disasters and other external events can affect an economy's production possibilities.

Understand how various factors influence the U.S. production possibility frontier.

Learn to assess production efficiency and inefficiency using production possibility frontier analysis.

Understand the impact of technological changes and resource availability on economic production.

---

Definitions:

Financial Structure Leverage

The use of various financial instruments or borrowed capital, like debt, to increase the potential return of an investment.

Long-term Debt

Loans or financial obligations that are due for repayment beyond the next 12 months or the current business cycle.

Finance Assets

Financial assets specifically purchased, created, or held for the purpose of generating income through investment or lending activities.

Financial Leverage

The use of borrowed funds with a fixed cost in order to increase the potential return to shareholders.