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
Zielflug [23.3K]
3 years ago
8

Elliot is suing Acme, Inc., for a breach of contract, but because Acme has very little in assets, he asks the court to pierce th

e corporate veil and hold the officers personally liable. In which of the following situations would the court likely approve Elliot’s request?
a. The corporation was under-capitalized from the beginning, and never had sufficient assets to operate as a viable business.
b. The officers make their decisions based on information presented to them, but unknown to them is the fact the information is incorrect.
c. The officers loaned money to the corporation in an attempt to delay any adverse actions.
d. The corporation has struggled to make a profit from the beginning.
Business
1 answer:
Sergeu [11.5K]3 years ago
7 0

Answer: The court would likely approve Elliot's request in the following situation: <u><em>The corporation was under-capitalized from the beginning, and never had sufficient assets to operate as a viable business.</em></u>

Under the given scenario i.e. for a breach of contract , the condition will apply if the corporation i.e. Acme Inc. was under-capitalized from the start, and they never had predominating assets to work as a viable organization.

<u><em>Therefore the correct option is (a)</em></u>

You might be interested in
Please fill in the blanks with appropriate option.
Fiesta28 [93]

Answer: Please refer to Explanation

Explanation:

1. Inflationary Gap.

Due to the availability of more disposal income due to tax cuts, more amount is being spent on consumption leading to a rise in actual GDP which is more than the potential GDP as the economy has not adjusted.

2. Output Gap.

This is the difference between the Actual GDP and the Potential GDP.

3. Demand Shock

This increases or reduces Aggregate Demand due but only temporarily.

4. Recessionary Gap.

This is where actual GDP falls below Potential GDP.

5. Supply Shock.

Like a demand shock, it suddenly increases or reduces the supply of goods and services. It is temporary as well.

6. Self Correction

Economists believe that in the long run, the Economy is capable of adjusting to shocks and returning to it's potential and natural levels.

8 0
2 years ago
vSelected financial data for The Portland Porcelain Works Coffee Mug Division is as​ follows: Sales $ 2 comma 000 comma 000 Oper
ioda

Answer:

Capital turnover = 2.5 times

Explanation:

given data

Sales =  $2,000,000

Operating income = $400,000

Total assets = $800,000

Current liabilities = $120,000

Target rate of return = 13​%

Weighted average cost of capital = 6​%

to find out

Portland Porcelain Works Coffee Mug Division capital​ turnover

solution

we get here Portland Porcelain Works Coffee Mug Division capital turnover that is find here by dividing sales by total assets

so

Capital turnover = \frac{sales}{total\ assets}     ......................1

put here value

Capital turnover = \frac{2,000,000}{800,000}

Capital turnover = 2.5 times

5 0
2 years ago
Eastern electric currently pays a dividend of about $1.64 per share and sells for $27 a share.
EastWind [94]

Answer:

The investors should expect to 9.26% of Return.

Explanation:

The Dividend Discount Model for Constant Growth should be used here.

DDM = Current Price = Dividend of Year 1 / (Required Return - Growth Rate)

Dividend of Year 1 = 1.64 (1.03) = 1.6892.

Re-arrange the above model for Required Return and put values:

Required Return = (1.6892 / 27) + .03 = .0926 OR 9.26%.

Thanks!  

6 0
3 years ago
Read 2 more answers
PLEASE HELP ASAP!! CORRECT ANSWER ONLY PLEASE!!!
nlexa [21]

Answer:

A

Explanation:

8 0
2 years ago
Collective bargaining provides for a representative of employees to negotiate with a representative of management over labor iss
scoundrel [369]

Yes. Collective bargaining is negotiation of wages working conditions by an organized group of employees (often called a union). The union representatives meet with the employer/employer's representatives to negotiate terms.

6 0
3 years ago
Read 2 more answers
Other questions:
  • A loan of $5,000 is charged a 12% annual interest rate. An $80 payment is made each month. a. Write a recurrence relation for th
    11·1 answer
  • Stan is preparing a message by using the interest and desire sections of the aida model to demonstrate that he has good reason f
    15·1 answer
  • Wilbur has been offered a job at a salary that would put him in the 24% marginal tax bracket. In addition to his salary, he woul
    7·1 answer
  • As leader of your company's Web team, you have been asked to give an oral presentation of plans for your company's new Website.
    7·1 answer
  • . Understanding how shirking decreases team output Caroline sells bottled water from a small stand by the beach. On the last day
    10·1 answer
  • A customer tells his broker "Sell my position in ABCD (a NASDAQ stock) and use the proceeds to buy EFGH (another NASDAQ stock)."
    8·1 answer
  • Consider the market for a breakfast cereal. The​ cereal's price is initially ​$3.003.00 and 7070 thousand boxes are demanded per
    6·1 answer
  • Last year, Green Corporation incurred the following expenditures in the development of a new plant process:
    13·1 answer
  • What is implication for the Government in the tax policy ?
    12·2 answers
  • purchased goods for Rs 10000 and paid Rs 4000 in cash. The balance amount is paid through cheque after receiving discount Rs 500
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!