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
Elden [556K]
3 years ago
6

Bo Borg is the vice president of purchasing for Crater Corp. He has authority to enter into purchase contracts on behalf of Crat

er, provided that the price under a contract does not exceed $2 million. Dent, who is the president of Crater, is required to approve any contract that exceeds $2 million. Borg entered into a $2.5 million purchase contract with Shady Corp. without Dent’s approval. Shady was unaware that Borg exceeded his authority. Neither party substantially changed its position in reliance on the contract. What is the most likely result of this transaction?
Business
1 answer:
g100num [7]3 years ago
7 0

Answer: Crater will be bound because of Borg's apparent authority.

Explanation:

Crater Corp. will be bound to the contract since Bo Borg has the apparent authority as the acting Vice President of purchasing. Even though he went over the agreed amount that was over 2 million in the contract. Since the Shady company was unaware that he had exceeded his authority the contract will stay in place. If Shady company had of known that he did not have the final say and needed approval the result of the transaction would of been different.

You might be interested in
Which best describes what a market index does?
melisa1 [442]
A market index is a resulting value created from the combination of several stocks and other  investment vehicles presenting its total value against a base value at a certain period. It is used to show the whole stock market at the same time keeping track with the way the market changes overtime. The practice of tracking the value of the stock market over a period of time can be used to benchmark to make a credible comparison of stock returns.
3 0
3 years ago
Read 2 more answers
Company A has a beta of 0.70, while Company B's beta is 1.45. The required return on the stock market is 11.00%, and the risk-fr
stira [4]

Answer:

company B's cost of equity is 14.0375% - 8.975% = 5.0625% higher than company A's cost of equity

Explanation:

cost of equity = risk free rate + (beta x market premium)

risk free rate = 4.25%

market premium = market return - risk free rate = 11% - 4.25% = 6.75%

Company A's cost of equity = 4.25% + (0.7 x 6.75%) = 8.975%

Company B's cost of equity = 4.25% x (1.45 x 6.75%) = 14.0375%

this means that company B's cost of equity is 14.0375% - 8.975% = 5.0625% higher than company A's cost of equity.

8 0
2 years ago
Which is the best way to prepare yourself for a job in the sports industry
Nataliya [291]
Are there any answer options? I know the answer if you have options
8 0
3 years ago
Read 2 more answers
Sparkling Water, Inc., expects to sell 3.7 million bottles of drinking water each year in perpetuity. This year each bottle will
MrRa [10]

Answer:

$39,345,664.93

Explanation:

The computation of the company worth today is as follows:

Present value of revenues after tax is

= $3,700,000 × 1.46 × (1 - 0.25) ÷ (0.07 - 0.018)

= $77,913,461.54

And, Present value of costs after tax is

= $3,700,000 × 0.82 × (1 -0.25) ÷ (0.07-0.011)

= $38,567,796.61

So, the company worth today is

=  $77,913,461.54 - $38,567,796.61

= $39,345,664.93

3 0
3 years ago
Aleutian Company produces two products: Rings and Dings. They are manufactured in two departments: Fabrication and Assembly. Dat
Wittaler [7]

Answer:

Estimated manufacturing overhead rate= $3 per machine hour

Explanation:

Giving the following information:

Machine Hours Per Unit:

Rings= 6 (1,000 units)

Dings= 11 (2,040 units)

All of the machine hours take place in the Fabrication Department, which has an estimated total factory overhead of $85,200.

To calculate the estimated manufacturing overhead rate we need to use the following formula:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= 85,200/(6,000 + 11*2,040)= $3 per machine hour

6 0
3 years ago
Other questions:
  • Island Breeze Company designs and makes desk, window, and ceiling fans. In a product liability suit based on negligence, Island
    11·1 answer
  • Patti would like more information about product recalls. Which of the following resources would not be reliable and relevant?
    10·1 answer
  • Rinker Audio Products wants to adopt the total quality management (TQM) philosophy as developed by, among others, W. Edwards Dem
    12·1 answer
  • A bond with a par value of $5,000 is quoted at 103.936. What is the dollar price of the bond?
    10·1 answer
  • A sales manager at Guilden Corporation, a manufacturer of consumer durable goods, instructed his new salesperson, Rita, to sell
    10·1 answer
  • Simon lost $5,000 gambling this year on a trip to Las Vegas. In addition, he paid $2,000 to his broker for managing his $200,000
    7·1 answer
  • Free xp for the first people to awnser
    15·2 answers
  • During some year a country had exports of $50 billion, imports of $70 billion, and domestic investment of $100 billion. what was
    8·1 answer
  • how would you expect judge oh to rule in a case where a toy manufacturer is being sued for producing a toy that led to the death
    5·1 answer
  • Which transaction caused John to overdraw his account?
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!