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Vinil7 [7]
3 years ago
14

Builder and Owner agree that Builder will erect a fence for Owner for $1,500. Builder claims that the fence is taking longer tha

n Builder expected, so Owner must pay Builder $500 more or Builder will not complete the fence. Owner, needing the fence completed, agrees to the additional $500. Builder completes the fence. Owner owes Builder: ________.
A. $1,500.
B. $2,000.
C. $1,000.
D. $1,750.
Business
1 answer:
artcher [175]3 years ago
3 0

Answer:

Owner owes Builder : B. $2,000.

Explanation:

A Liability is the present obligation of the entity, that arises as a result of past events, the settlement of which is expected to result in a cash outflow from the entity.

Initially, the Owners owes the Builder $,1500

For the fence to be completed on time, an addition of $500 was owed, upon the owner accepting this arrangement.

Thus, the total obligation owing to the Builder is $2,000.

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