________ Is a Promise to Refrain from Doing an Unlawful

question 9

Multiple Choice

________ is a promise to refrain from doing an unlawful act, and therefore is a promise that will not support a contract.

• A) Preexisting duty
• B) Illusory promise
• C) Illegal consideration
• D) Gift promise

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Definitions:

Financial Statements

Summaries that present a snapshot of a corporation's financial health, encompassing the balance sheet, income statement, and cash flow statement.

Statement of Stockholders' Equity

This financial statement details the changes in the equity section of a company over a period, including transactions like stock issuance and earnings retention, presenting a different perspective from its initial portrayal.

Dividend Payments

Distributions of earnings allocated by a company to its shareholders, often in the form of cash or stock.

Net Income

The total profit of a company after all expenses and taxes have been subtracted from total revenue, indicating the company's overall profitability.