The Vesting of Contractual Rights in a Third Party Terminates

question 22

True/False

The vesting of contractual rights in a third party terminates the right of the original parties to change the contract.

---

Definitions:

Sales

The total revenue earned from the sale of goods or services by a company during a specified period.

Net Price Method

An accounting method that records purchases at the net cost, after deducting any purchase discounts, rather than recording them at the gross cost.

Cash Discounts

Reductions in the price of goods or services offered to customers as an incentive for early payment.

Sales Returns

Transactions where the buyer returns previously purchased merchandise back to the seller for a refund or exchange, reducing the seller's revenue.