A Guaranty, or Promise, to Pay the Debts or Settle

question 29

True/False

A guaranty, or promise, to pay the debts or settle the wrongdoings of another if he or she does not make settlement personally is not enforceable unless it is written.

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Definitions:

Going Concern

An accounting principle assuming that an entity will remain in business for the foreseeable future, allowing it to carry out its operations and commitments.

Consolidated Statement

A financial statement that aggregates the financial performance of a company and its subsidiaries, presenting it as if the group were a single entity.

Comprehensive Income

The sum of net income and other comprehensive income, representing the total change in equity for a period other than transactions with owners.

Gross Margin

The difference between revenue and cost of goods sold, divided by revenue, expressed as a percentage; an indicator of the financial health and performance of a business.