<u>Answer: </u>Option B
<u>Explanation:</u>
There is no acceptance and no contract in this case. Mina Loy's written offer letter states clearly that the acceptance has to be made through first class mail. The terms of the offer were not fulfilled by Carl Van Vechten as he did not perform the acceptance as per the condition mentioned in the offer.
As there is no valid contract the parties to the contract that is Mina Loy and Carl Vechten are not obliged to perform their obligations as promised.
Answer:
15.50%
Explanation:
The computation of the cost of retained earning is shown below:
As we know that
Price = Dividend × (1 + growth rate) ÷ (required rate of return - growth rate)
$25 = $2.50 × (1 + 0.05) ÷ (required rate of return - 5%)
$25 = $2.625 ÷ (required rate of return - 5%)
After solving the required rate of return is 15.50%
We simply applied the above formula to find out the cost of retained earning
Inflation is 110
<u>Explanation:</u>
The consumer price index is the ratio of the basket prices of the current year to the basket price of the base year multipliers by 100, this helps us to determine inflation
now, cpi in second year = 
= 110
Answer: $66.90 per unit
Explanation:
Cost that would be avoided is:
= Direct materials + Direct cost + Variable manufacturing overhead + part of fixed manufacturing overhead
= 20.80 + 26.50 + 6.90 + (36.10 - 31.40)
= $58.90
If the outside supplier commits to 59,000 units a year, the company should not pay more than:
= (Number of units supplied * Avoidable cost + contribution margin on other product (opportunity cost) ) / Number of units supplied
= (59,000 * 58.90 + 472,000) / 59,000
= $66.90 per unit
Answer:
generally receives favorable tax treatment relative to a corporation.
Explanation:
The sole proprietorship is the business organization in which the business is controlled by single person only. The business records would be separated with the owner personal records in this type of business also it would not be classified as a separate legal entity just like corporation
But in this it received the favorable tax treatment as compared with the corporation
