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nika2105 [10]
4 years ago
10

A manager at Blue Cross asks Office Supply, Inc. (OSI) if it will provide 500 boxes of letter size paper. OSI agrees, arranges f

or the delivery of the paper, and sends an invoice to Blue Cross. The invoice contains an arbitration clause. Blue Cross accepts the goods and pays OSI. Later, the two companies get in a dispute, and OSI attempts to force the dispute into arbitration. A court would likely find the arbitration clause
Group of answer choices

valid, because the UCC does not apply to this sale

invalid, because under the UCC the acceptance must mirror the offer

invalid, because common law requires the acceptance be a mirror image of the offer

valid, because under the UCC the acceptance does not have to mirror the offer
Business
1 answer:
BigorU [14]4 years ago
4 0

Answer:

Invalid, because under the UCC the acceptance must mirror the offer

Explanation:

§ 2-207 of the Uniform Commercial Code (UCC) enforces the mirror image rule. The mirror image rules states that in order for a valid contract to be formed, the offeree (Office Supply) must accept all the terms included in the offer (by Blue Cross) and cannot modify or add any terms. Any term that changes the original offer results in no contract.

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1 year ago
Why might a business owner prefer to start a business in a laissez-faire economy?
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4 0
4 years ago
A 4.75 percent coupon municipal bond has 20 years left to maturity and has a price quote of 101.30. The bond can be called in ei
Vladimir79 [104]

Answer:

Answer is given below.

Explanation:

Par value of bond = $ 5000

Coupon rate = 4.75% * 6 / 12 = 2.375% Per period

Term = 20Years *2 = 40 Periods

Current price of bond = Par value * 101.30% = $5,000 * 101.30% = $5,065

Callable price = Par value + Call premium = $5,000 + $5,000 * 4.75% = S5,237.5

Callableterm = 8 Years * 2 = 16  Periods

Couponamountperperiod =Parvalue • Couponrate = $5000*2.375% = $118.75

Current yield = Coupon amount /Current price = $118.75/$5,065 = 0.023445212 = 2.345%Per period Rounded)

Currentyield = 2.345%Perperiod *2 = 4.69%Perannum

YTM = [Coupon amount + (Maturity value - Current price ) / Term] / [(Current price + Maturity value ) /2]

= [$118.75+($5,000-$5,065)/40]/[($5,065+S5,000)/2]

= $117.125 / $5032.5

= 0.023273721 = 2.33%Perperiod

YTM = 2.33% * 2 = 4.66% Per annum

Tax rate = 36%

After tax equivalent yield YTM (1 -Tax rate) = 4.66%(1-36%) = 2.9824% Per annum

Yield to call (YTC) = [Couponamount+(Call price - Current price)/Callable Term/ [(Current price+Call price)/2]

= [$118.75 + ($5,237.5 - $5,065)/16 ] / [($5,065 + $5,237.5)/ 2]

= $129.53125/ $5151.25

= 0.025145596 = 2.515%Per period (Rounded)

YTC = 2.515%2 = 5.03%Per annum (Rounded)

4 0
3 years ago
Read 2 more answers
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Delicious77 [7]

Answer:

Semi-annual interest =$11,700

Explanation:

The semi annual interest = coupon rate × nominal value× 1/2

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                                     =$11,700

The interest has to be pro rated into two to account for 6 months

7 0
4 years ago
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