Mike Contracted to Buy Rita's House in a Written Contract

question 57

Multiple Choice

Mike contracted to buy Rita's house in a written contract that provided for a deposit of $10 000 to be forfeited in the event of Mike's failing to go through with the deal.This deposit was an honest estimate of the damages Rita would suffer.On these facts,which of the following is true?

• A)If the contract price agreed upon was $150 000 and Rita,after Mike breaches the contract,sells the house in one week for $138 000,she will still be able to recoup all her losses.
• B)If Mike breaches the contract,he would not have to pay $10 000 even if Rita suffered a substantial loss.
• C)If Mike breaches the contract,he will have to pay Rita all damages that directly and naturally flow from the breach.
• D)If Mike breaches the contract,he would have to pay $10 000 even if Rita's actual loss was $40 000.
• E)A clause in a contract that provides for the forfeiture of a deposit is called an exemption clause.

Understand the necessity of ending the counseling relationship in a meaningful manner.

Comprehend the documentation process in nutrition counseling and its importance.

Identify personal strengths and weaknesses in counseling practice and propose strategies for improvement.

Understand the initial and subsequent phases of a nutritional counseling session.

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Definitions:

Participating Preferred Stock

A type of preferred stock that provides its holders with dividends that exceed the stated dividend rate in certain situations, often when the company performs well.

Statutory Ratification

The process by which a legislative body formally approves an action, treaty, or agreement previously enacted or signed.

Overissued Shares

Stock shares that have been erroneously or unlawfully issued beyond the number authorized by the company's charter.

Debt

Money owed by one party (the debtor) to another (the creditor), typically arising from a transaction of financial borrowing.