The type of contract signed, along with the specific contract terms and conditions, establishes the degree of ________ borne by the buyer and seller.
A) risk
B) requirements
C) service
D) inputs

Question

Quizplus · Accepted Answer

The degree of risk is directly related to the terms and conditions of the contract. A well-drafted contract explicitly outlines the risks and liabilities for each party. It is crucial to understand the risk involved and allocate them accordingly. The party who takes more risk usually receives a greater effort or reward. Choice B, C, and D are all important elements of a contract, but they are not directly related to determining the degree of risk in a contract.

The Type of Contract Signed, Along with the Specific Contract