MINDTAP BUSINESS LAW FOR MANN/ROBERTS S
17th Edition
ISBN: 9781337094498
Author: Roberts
Publisher: IACCENGAGE
expand_more
expand_more
format_list_bulleted
Question
Chapter 12, Problem 11Q
Summary Introduction
To determine: The appropriate decision for the current situation.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
On January 1, 2021, Crane, Inc. signs a 10-year noncancelable lease agreement to lease a storage building from Holt Warehouse Company. Collectibility of lease payments is reasonably predictable and no important uncertainties surround the amount of costs yet to be incurred by the lessor. The following information pertains to this lease agreement.(a) The agreement requires equal rental payments at the beginning each year.(b) The fair value of the building on January 1, 2021 is $6550000; however, the book value to Holt is $5500000.(c) The building has an estimated economic life of 10 years, with no residual value. Crane depreciates similar buildings using the straight-line method.(d) At the termination of the lease, the title to the building will be transferred to the lessee.(e) Crane’s incremental borrowing rate is 11% per year. Holt Warehouse Co. set the annual rental to insure a 10% rate of return. The implicit rate of the lessor is known by Crane, Inc.(f) The yearly rental payment…
Please fully explain an agent, employee, and an independent contractor. Then, compare and contrast the differences between an agent and an independent contractor.
Pollard Ltd. is a publisher, specializing in producing fictional books. In January 2023, they decided to produce a new edition of a particular book and contracted Jane and Donald. Jane will provide the text and Donald will produce the extensive diagrams. Each of them are to be paid $50,000. The contract between Pollard Ltd and Jane required the text to be produced by 30th April 2023. The terms of Donald’s contract required the diagrams to be submitted by 30th June 2023.
In March 2023, Jane informed Pollard Ltd that she would not supply the finished text on time, unless Pollard Ltd increased her payment by $10,000. Pollard Ltd agreed to the increase. However, when Jane submitted her invoice on delivery of the text on the 28th April 2023, Pollard Ltd refused to pay the additional amount of $10,000, arguing that they will only pay the contracted sum of $50,000. Since Jane was merely performing what she was contracted for and did not provide any additional services to warrant any…
Chapter 12 Solutions
MINDTAP BUSINESS LAW FOR MANN/ROBERTS S
Ch. 12 - Prob. 1COCh. 12 - Prob. 2COCh. 12 - Prob. 3COCh. 12 - Prob. 4COCh. 12 - Prob. 5COCh. 12 - Prob. 1QCh. 12 - Prob. 2QCh. 12 - Prob. 3QCh. 12 - Prob. 4QCh. 12 - Prob. 5Q
Ch. 12 - Prob. 6QCh. 12 - Prob. 7QCh. 12 - Prob. 8QCh. 12 - Prob. 9QCh. 12 - Prob. 10QCh. 12 - Prob. 11QCh. 12 - Prob. 12CPCh. 12 - Prob. 13CPCh. 12 - Prob. 14CPCh. 12 - Prob. 15CPCh. 12 - Prob. 16CPCh. 12 - Prob. 17CPCh. 12 - Prob. 18CPCh. 12 - Prob. 19CPCh. 12 - Prob. 20CPCh. 12 - Prob. 1TSCh. 12 - Prob. 2TSCh. 12 - Prob. 3TS
Knowledge Booster
Similar questions
- Pollard Ltd. is a publisher, specializing in producing fictional books. In January 2023, they decided to produce a new edition of a particular book and contracted Jane and Donald. Jane will provide the text and Donald will produce the extensive diagrams. Each of them are to be paid $50,000. The contract between Pollard Ltd and Jane required the text to be produced by 30th April 2023. The terms of Donald’s contract required the diagrams to be submitted by 30th June 2023. In March 2023, Jane informed Pollard Ltd that she would not supply the finished text on time, unless Pollard Ltd increased her payment by $10,000. Pollard Ltd agreed to the increase. However, when Jane submitted her invoice on delivery of the text on the 28th April 2023, Pollard Ltd refused to pay the additional amount of $10,000, arguing that they will only pay the contracted sum of $50,000. Since Jane was merely performing what she was contracted for and did not provide any additional services to warrant any increases…arrow_forwardPollard Ltd. is a publisher, specializing in producing fictional books. In January 2023, they decided to produce a new edition of a particular book and contracted Jane and Donald. Jane will provide the text and Donald will produce the extensive diagrams. Each of them are to be paid $50,000. The contract between Pollard Ltd and Jane required the text to be produced by 30th April 2023. The terms of Donald’s contract required the diagrams to be submitted by 30th June 2023. In March 2023, Jane informed Pollard Ltd that she would not supply the finished text on time, unless Pollard Ltd increased her payment by $10,000. Pollard Ltd agreed to the increase. However, when Jane submitted her invoice on delivery of the text on the 28th April 2023, Pollard Ltd refused to pay the additional amount of $10,000, arguing that they will only pay the contracted sum of $50,000. Since Jane was merely performing what she was contracted for and did not provide any additional services to warrant any increases…arrow_forwardLowell Shoemaker, an architect, was hired by Aff- house to work on a land development project. In September Shoemaker contacted Central Missouri Professional Services about providing engineering and surveying services for the project. Central submitted a written proposal to Shoemaker in October. About a week later, Shoemaker orally agreed that Central should proceed with the work outlined in the pro- posal. When the first phase of the work was com- pleted, a bill of $5,864.00 was sent to Shoemaker. Shoemaker called Central and requested that all bills be sent directly to the owner/developer, Affhouse. When the bills were not paid, Central sued Shoe- maker and Affhouse. The trial court entered a judg- ment against Shoemaker for $5,864 and he appealed. Shoemaker acknowledged that he did not disclose the identity of the principal to Central at the time the transaction was conducted, and explained:Q. You never told Mike Bates or Central Missouri Professional Services that you were an agent…arrow_forward
- made the following statements to danny: 'If you open your shop here, I'd say the business pulls in at least RM2,000 a week. No one so far is selling homemade products in this area. You can display your product outside as well." Danny decided to rent the business premises and operate the new branch of his shop. After running the shop for 3 months, the most the restaurant earned in a week was RM1,000. He also discovered that some other shops were selling the similar product at cheaper price in the area. He was very upset because he had suffered a loss. Danny was so worried about his loss in his business, and he wanted to hire Peter to provide him with a consultancy on how to increase the sale in his restaurant business. When Danny asked Peter about the fees, Peter said: " My fee is $10,000 but I know you cannot afford that in this current state. I will think about it and get back to you later. Perhaps we should wait and see what happens.” Danny wanted to give Peter something now. Peter…arrow_forwardBuyer Beatrice has entered into an exclusive buyer single agency agreement with Broker Nate. The agreement states that the broker will first look to the seller for payment of earned commission via the cooperating broker arrangement as published in the listing for the property on the local MLS. On one hand, Beatrice is glad that she probably won't have to pay the broker's fee, but on the other hand, she's worried that if Nate is being paid by the seller, his loyalty might be with the seller. Is Beatrice's concern warranted? Although Nate is operating as a single agent for Beatrice, her concerns might still be warranted since compensation representation and loyalty. Beatrice does not need to worry until it is actually determined from whom Nate's compensation will come. Beatrice does not need to worry because compensation does not equal loyalty or an agency relationship. Beatrice's concerns are valid. If she wants Nate to only consider her interests, she should not allow him to receive…arrow_forwardGerry a plumber is hired under a written contract to refurbish Bryan's master bathroom and Bryan's first floor half bath for $45,000. Bryan gave Gerry a $5,000 check to start. Upon completion of the project Gerry gave Bryan his final invoice. Bryan refused to pay. What can Gerry do to protect his interest and receive his pay? Would your answer change if the contract was to refurbish all the bathrooms at Bryan's grocery store? If yes what changes would you make?arrow_forward
- BUSINESS LAW BUSS2422 Akram posted the offer letter on 2 October 2020 to Salam to sell his Honda City for RM50 000 to be accepted by 10 October 2020. On 4 October 2020 Akram posted another letter to revoke his proposal. The revocation letter reached Salam on 9 October 2020. On 8 October 2020, Salam posted his acceptance letter accepting the proposal. Based on the facts above: (a) Advise Salam as to his legal rights against Akram in relation to the agreement. (b) Explain if your answer would be different if Salam posted the letter of acceptance after the letter of revocation reached him. Support your answer with relevant statutory provisions of the Contracts Act 1950 and decided cases. Format: Times New Roman 12 1% spacing Front cover - Standard Format Number of pages - Minimum 3 pages, maximum 5 pagesarrow_forwardSheila owned an old roadside building that she believed could be easily converted into an antique shop. She talked to her friend Barbara, an antique fancier, and they executed the following written agreement: a. Sheila would supply the building, all utilities, and $100,000 capital for purchasing antiques. b. Barbara would supply $30,000 for purchasing antiques, Sheila would repay her when the business terminated. c. Barbara would manage the shop, make all purchases, and receive a salary of $500 per week plus 5 percent of the gross receipts. d. Fifty percent of the net profits would go into the purchase of new stock. The balance of the net profits would go to Sheila. e. The business would operate under the name “Roadside Antiques.” Business went poorly, and after one year, a debt of $40,000 is owed to Old Fashioned, Inc., the principal supplier of antiques purchased by Barbara in the name of Roadside Antiques. Old Fashioned sues Roadside Antiques, and Sheila and Barbara as partners.…arrow_forwardEmilio's Italian Restaurant enters into a contract with Vino winery wherein Emilio's agrees to purchase all the wine that Vino produces for $8/bottle. a. This contract is unenforceable because it fails to specify a quantity in the contract. b. This is an enforceable contract. c. This contract will only be enforceable if every other contract terms is specified in the contract. d. This contract is unenforceable because Vino hasn't given any consideration for selling all their wine to Emilio's.arrow_forward
- C&D Services contracts with Ace Concessions, Inc. to provide service for Ace’s vending machines. A few months later, C &D wants to sell out to Dean Vending Services, and assign its contract with Ace Concessions to Dean. Can C&D assign the contract without Ace Concessions consent? What will C&D’s risk be in the assignment?arrow_forwardHow is performance under a contract determined to be sufficient to discharge the duty to perform?arrow_forwardOsbom Operator is trying to decide whether he can consider Brooks to be an independent contractor. Osborn pays Brooks a salary but also frequent, large commissions, and the two have for 15 years had a continuing work relationship. In fact, Brooks has been working for Osborn so long that Osborn has allotted him many freedoms, including the ability to determine where, when, and how he wants to work. Even though Brooks performs the same work that is done by the employees in Osborn's business, all of whom work at the business location, Brooks almost never comes to Osborn's business workplace; instead, Brooks works at home in his pajamas without the supervision of Osborn. As long as Brooks completes the work on time, Osborn has no qualms. However, Osborn does require Brooks to do all of his work using the laptop provided to him by the company. Given this information, which characteristic concerning independent contractors and employees is most likely to give Osborn the most trouble in terms…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Understanding BusinessManagementISBN:9781259929434Author:William NickelsPublisher:McGraw-Hill EducationManagement (14th Edition)ManagementISBN:9780134527604Author:Stephen P. Robbins, Mary A. CoulterPublisher:PEARSONSpreadsheet Modeling & Decision Analysis: A Pract...ManagementISBN:9781305947412Author:Cliff RagsdalePublisher:Cengage Learning
- Management Information Systems: Managing The Digi...ManagementISBN:9780135191798Author:Kenneth C. Laudon, Jane P. LaudonPublisher:PEARSONBusiness Essentials (12th Edition) (What's New in...ManagementISBN:9780134728391Author:Ronald J. Ebert, Ricky W. GriffinPublisher:PEARSONFundamentals of Management (10th Edition)ManagementISBN:9780134237473Author:Stephen P. Robbins, Mary A. Coulter, David A. De CenzoPublisher:PEARSON
Understanding Business
Management
ISBN:9781259929434
Author:William Nickels
Publisher:McGraw-Hill Education
Management (14th Edition)
Management
ISBN:9780134527604
Author:Stephen P. Robbins, Mary A. Coulter
Publisher:PEARSON
Spreadsheet Modeling & Decision Analysis: A Pract...
Management
ISBN:9781305947412
Author:Cliff Ragsdale
Publisher:Cengage Learning
Management Information Systems: Managing The Digi...
Management
ISBN:9780135191798
Author:Kenneth C. Laudon, Jane P. Laudon
Publisher:PEARSON
Business Essentials (12th Edition) (What's New in...
Management
ISBN:9780134728391
Author:Ronald J. Ebert, Ricky W. Griffin
Publisher:PEARSON
Fundamentals of Management (10th Edition)
Management
ISBN:9780134237473
Author:Stephen P. Robbins, Mary A. Coulter, David A. De Cenzo
Publisher:PEARSON