Sam, the owner of a toy store, dies unexpectedly at the age of 56. His lifelong business associate, Paul, is appointed the administrator of the estate. Sam had a personal debt of $8,000 which he owed to Art's Appliance Store. Paul says to Art, "If there isn't enough money in the estate, I'll personally see that the bill is paid." Which of the following is correct?
A) The oral statement is enforceable because Paul is the administrator.
B) An oral statement such as this is not enforceable because it is outside the statute of frauds.
C) An oral statement such as this is not enforceable because this promise is within the statute of frauds.
D) The oral statement is enforceable because it is a collateral promise.
C
Business
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When a factory dumps toxic waste into a stream, it results in a(n) _____ cost for society.
Fill in the blank(s) with the appropriate word(s).
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Which of these is NOT subject to income taxation under a Modified Endowment Contract (MEC)?
A) Loan against the cash value B) Policy withdrawal C) policy dividend D) Death benefit
Business