A Mistake of Judgment

question 29

Multiple Choice

A mistake of judgment:

• A) makes a contract void.
• B) is not a valid defense to enforcement of a contract.
• C) is a valid defense to enforcement of a contract if the mistake is substantial.
• D) is a defense for ineffective negotiating techniques.

Recognize the implications of fiscal year alignment with property tax cycles on financial statements.

Comprehend the characteristics and accounting treatment of provisions and contingent liabilities.

Identify the nature of current liabilities and their impact on liquidity.

Distinguish between secured and unsecured notes, and their reporting in financial statements.