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Nastasia [14]
4 years ago
12

Seventeen years ago, Susan designed a corrugated steel culvert for a rural road. Her work was accepted and paid for by the count

y engineering department. Last winter, the culvert collapsed as a loading logging truck passed over. Although there were no injuries, there was damage to the truck and the roadway, and the county tried unsuccessfully to collect on Susan's company's bond. The judge denied the claim on the basis that the work was done too long ago. This defense is known as:________.
(a) privity of contract
(b) duplicity of liability
(c) statute of limitations
(d) caveat emptor
(c) statute of limitations
Business
1 answer:
Lemur [1.5K]4 years ago
4 0

Answer:

C. Statute of limitations.

Explanation:

Statute of limitations are laws which states the time limit of when legal proceedings must be initiated between concerned parties from the date in which alleged offence was perpetrated.

In statue of limitations, the time limit for somebody is wronged to initiate legal action is not fixed in all jurisdiction. It means that depending on the nature of the alleged offense under statute of limitation, time allowed to institute legal actions varies.

Example of statue of limitation is that for certain states, the time limit to initiate legal case say on fraud is two years. It means that one must bring up the case in a court of law within the stipulated two years period. Once the two year grace elapse, one can no longer sue for fraud in the court of law.

Although there is no time limit for certain offence like murder case, sex offence with minor etc.

As in the case above, the judge threw away the case because according to the law of statute of limitation, a party that is wronged can only sue the wrong doer within the stipulated time as spelt out within the jurisdiction where the alleged offence was committed.

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Consider a project where the initial cash flow is negative and where all subsequent cash flows are positive.
Licemer1 [7]

Answer:

b. NPV < 0

Explanation:

The internal rate of return is the discount rate that equates the after tax cash flows from an investment to the amount invested.

The decision rule is invest if IRR > required rate of return and don't invest if IRR < required rate of return.

The net present value is the present value of after tax cash flows from an investment less the amount invested.

The decision rule is invest if NPV > 0 and don't invest otherwise.

The payback period measures how long it takes to recover the amount invested in a project from its cumulative cash flows.

There is no set acceptable pay back period. It is usually set at the discretion of firms.

The profitability index is the present value of a projects cash flows divided by the cost of investment.

The decision rule is invest if PI > 1 and don't if its otherwise.

For a project where the initial cash flow is negative and where all subsequent cash flows are positive, the NPV and IRR would agree.

From the question the IRR is less than the required rate of return which means the project shouldn't be embarked on. When the NPV is calculated, the same conclusion should be reached. So, the npv should be less than zero.

I hope my answer helps you

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Answer:

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1. Introduction Stage

2. Growth Stage

3. Maturity Stage

4. Decline Stage.

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