1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
AleksandrR [38]
3 years ago
5

Percy is a rich boy whose parents supply him with every conceivable necessity of life. While still a minor, Percy buys a coat on

credit from a men's store for $5000. After wearing the coat for a while, Percy decides that it bores him and that he'd like to disaffirm. Which of the following is most likely to be true? Assume that Percy is still a minor. Percy can disaffirm the contract, and he must return the coat. Percy cannot disaffirm the contract, but he only is liable for the reasonable value of the coat. Percy cannot disaffirm the contract, and he is liable for the full price of the coat ($5000). Percy can disaffirm the contract and he need not return the coat.
Business
2 answers:
Nastasia [14]3 years ago
8 0

Answer: The answer is A, Percy can disaffairm the contract and return the coat.

Explanation:

This question is based on the law of contract. The contract can be defined as an agreement between the buyer and the seller in which the seller agrees to transfer the property in goods for money consideration known as price.

Therefore for a contract to be valid it must have the following requirement that are essential

Offer: There must be offer from the offeror to the offeree.

Acceptance: The other party must be willing to accept the offer.

Consideration: All simple contract must be supported by value consideration known as price.

Intention to create legal relations: The parties to the agreement must be willing to enter into an agreement that can be enforceable by law.

Capacity : The person entering into a contract must have the legal capacity to do so at the time of entering into the contract. In other words, such a person must be of legal age.

However, in the case of Percy he was still a minor as at the time he enter into the contract. He was not of legal age, an according to the law of contract any contract enter into with a minor except for food is null and void in the view of the law.

cricket20 [7]3 years ago
6 0

Answer:

The answer is: Percy can disaffirm the contract, and he must return the coat.

Explanation:

Minors (people under 18 years of age) are not allowed to participate in any kind of contract except for essential items like medicine or food. In order for a contract to be enforceable, Percy's parents must give prior consent.

So Percy can choose to either continue with the contract or void it, but if he decides to void the contract he must return the coat he bought.

You might be interested in
Andy can't make a deal with Danny. Andy has a Alex Rodriguez baseball card and would like to trade it to Danny for Danny's Alber
Bogdan [553]

Answer:

A. the double coincidence of wants problem.

Explanation:

Trade by barter involves the exchange of goods and services for goods and services without the use of money as a medium of exchange. In barter system, there is what we call double coincidence of wants. This is the economic situation whereby both parties holds what the other wants to buy, so they exchange the goods directly. Here, both parties agrees to buy and sell each other commodities. However, if one of the party is not interested in what the other party is offering, it causes a disruption in the trade. This disruption refers to a drawback in the system like the example described in the question.

Here, Andy couldn't make a deal with Danny even tho he wants what Danny is offering. This is because what Danny isn't interested in what Andy is offering. Thus, the double coincidence of want and barter trade can't occur between the two parties.

5 0
3 years ago
A cost incurred in the past that is not relevant to any current decision is classified as a(n): incremental cost. opportunity co
melamori03 [73]

Answer:

sunk cost.

Explanation:

Sunk cost can be defined as a cost or an amount of money that has been spent on something in the past and as such cannot be recovered. Thus, because a sunk cost has been incurred by an individual or organization it can't be recovered and as such it is irrelevant in the decision-making process such as investments, projects etc.

Basically, sunk costs are referred to as fixed costs.

Sunk costs are the opposite of relevant costs because they can't be changed or recovered, as they've been spent or contracted in the past already. Hence, relevant cost are relevant for decision-making purposes but not sunk costs.

Hence, a cost incurred in the past that is not relevant to any current decision is classified as a sunk cost.

For example, ABC investors decide to acquire land and develop residential houses at a location X. This decision is informed on the fact that the government had recently enacted a policy that led to an increase in demand for residential properties in that location. 6 months into construction of the residential houses, the government reviews and rescinds the policy. This leads to a sharp decline in property values in location X. ABC investors had already incurred 10 million dollars in the project. The 10 million dollars is considered sunk cost.

6 0
3 years ago
What is CRM software designed to do?
Lostsunrise [7]
In CRM (customer relationship management<span>), CRM software is a category of software that covers a broad set of applications designed to </span>help<span> businesses manage many of the following business processes: customer data. customer interaction. access business information.</span>
3 0
3 years ago
The production department should generally be responsible for materials price variances that resulted from:
Romashka-Z-Leto [24]

Answer:

c. rush orders arising from poor scheduling.

Explanation:

3 0
3 years ago
On October 1, 20X4, Shaw Corp. purchased a machine for $126,000 that was placed in service on November 30, 20X4. Shaw incurred a
balu736 [363]

Answer:

$138,000

Explanation:

The computation of the machine cost that would be reported is shown below:

= Purchase value of machine + shipping cost + installation cost + testing cost

= $126,000 + $3,000 + $4,000 + $5,000

= $138,000

At the time of reporting the machine cost, we have to consider all the cost that is related to the machine. Therefore, all the given cost is considered.

4 0
2 years ago
Other questions:
  • Which of the following is part of the professional support services area?
    15·1 answer
  • When a hurricane rips through florida, the price of oranges rises because the:
    14·1 answer
  • Eccles Inc. Eccles Inc., a zero growth firm, has an expected EBIT of $100,000 and a corporate tax rate of 30%. Eccles uses $500,
    15·1 answer
  • The division of labor means that:_______.a) labor markets are geographically segmented. b) unskilled workers outnumber skilled w
    13·1 answer
  • Jax Company uses the acquisition method for accounting for its investment in Saxton Company. Jax sells some of its shares to Sax
    13·2 answers
  • Why would the top-level managers at Nutzandboltz, a hardware company, decide to invest free cash flow in product lines such as c
    10·1 answer
  • A portfolio manager is considering the purchase of a bond with a 5.5% coupon rate that pays interest annually and matures in thr
    11·1 answer
  • What is a multinational company
    15·1 answer
  • American Enterprise Company's total current assets were $12,000 and its total current liabilities were $4,000. If American Enter
    5·1 answer
  • When a binding price ceiling is imposed on a market to benefit buyers,
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!