The Rights of a Third Party Beneficiary Under a Contract

question 34

True/False

The rights of a third party beneficiary under a contract vest if the third party brings a lawsuit on the promise.

Grasp the importance of beta in measuring a stock's market risk relative to the overall market.

Recognize the role and interpretation of the security market line in investment decision-making.

Understand the distinction between diversifiable (unsystematic) risk and non-diversifiable (systematic) risk.

Realize the implications of portfolio construction on risk reduction and the concept of the efficient frontier.

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Definitions:

Sale of Goods Act

Legislation governing the sale of goods, ensuring that goods sold meet certain quality and ownership criteria.

Title and Possession

Legal terms that refer to the ownership (title) of an asset and the control or occupation of it (possession).

Money

A medium of exchange, unit of account, and store of value that facilitates the transaction of goods and services.

Defective Furnace

A faulty heating unit that fails to operate as expected or is unsafe.