Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Bob has a rental property that he rents out to Tara, his student tenant (who is 16 years old) for ( $ 2000 / )
Bob has a rental property that he rents out to Tara, his student tenant (who is 16 years old) for \\( \\$ 2000 / \\) month. The furnace breaks down in the rental property, and an HVAC technician tells Bob it will cost \\( \\$ 12,000 \\) to replace the old furnace with a brand new one. Tara, who is interning to become an HVAC technician, tells Bob that she's willing to fix the furnace in exchan for free rent. Bob happily agrees to the deal. Bob and Tara do not formally draft up a contract for their agreement because they have always had a good relationship and did not think they would need one. Tara fixes the furnace, and the following exchange happens: Tara: This is great, now I don't have to worry about the rent for 6 months! Bob: Wait, this isn't what I agreed to. Why would you get free rent for 6 months? Tara: Well, it would have cost you \\( \\$ 12,000 \\) to get a new furnace, and my rent is \\( \\$ 2000 \\) a month, so that equates to 6 months... Bob: That's not fair. \\( \\$ 12,000 \\) would have gotten me a bra
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started