Answer:
C) formed a valid contract because Rachel's outward expressions showed the formation of a contract.
Explanation:
A valid contract is a binding and enforceable agreement, where all parties are legally bound to perform the contract.
Probably the most important part of a contract is the existence of an offer and acceptance. Once a valid offer is accepted, it binds the parties into a valid contract.
In this case, Rachel accepted Julius´s offer to buy her boat, so an offer and acceptance exists.
Answer:
Chiquita makes an economic profit of $250,000.
Answer:
The current share price is $71.05
Explanation:
P3 = D3(1 + g)/(R – g)
= D0[(1 + g1)^3](1 + g2)/(R – g)
= [$1.45*(1.20)^3(1.08)]/(0.11 – 0.08)
= $90.20
The price of the stock today is the PV of the first three dividends, plus the PV of the Year 3 stock price given by:
P0 = $1.45(1.20)/1.11 + $1.45[(1.20)^2]/1.112 + $1.45[(1.20)^3]/1.113 + $90.20/1.113
= 1.568 + 1.695 + 1.832 + 65.958
= $71.05
Therefore, The current share price is $71.05
Answer:
the real return is 2.99%
Explanation:
The computation of the real return on long term government bond is shown below:
As we know that
Real rate of return is = [(1 + nominal rate) ÷ (1+inflation rate)] - 1
= [(1 + 0.069) ÷ (1 + 0.038)] - 1
= 2.99%
hence, the real return is 2.99%
We simply applied the above formula so that the correct value could come
And, the same is to be considered
