Answer:
$25
Explanation:
We can calculate intrinsic value by intrinsic formula
Formula : intrinsic Value = (purchased price- current price) x 100
intrinsic Value = (45-44.75) x 100
intrinsic Value = $25
Answer:
Courts Distributors and Eastinghouse Corporation
Dispute over Contract Price
The two parties have a legal contract. The contract was established when Courts requested Eastinghouse to send the refrigerators and bill later.
The exact price for the contract is in dispute. This dispute can be resolved between the parties. Reference to the market price will help resolve the dispute, otherwise, the parties may seek alternative dispute resolutions, like litigation, mediation, or arbitration.
Explanation:
a) Data and Analysis:
Eastinghouse's invoice price for the refrigerators = $140,000
Courts' adopted market price = $120,000
b) Since Courts' reference to the price is with regard to the wholesale market price, it may be that Eastinghouse quoted the retail price instead. Since Courts is a distributor, it has the right to be charged a wholesaler's price and not a retailer's. Therefore, we can conclude that after due reference to the prevailing market price of similar refrigerators, the two parties may agree to a price of $120,000 or a little higher.
Providing the customer a choice between a refund or a replacement
The total cost is $175.
The first thing that you need to do is calculate the per day cost per person.
$60 was spent on a three day trip. $60/2 = $20 per day. There were 4 adults on the trip, so $20/4 = $5. The cost of food is $5 per person per day.
On a trip with 7 adults the formula to solve the total cost is:
7 adults x 5 days x $5/day = $175.
