Question 3 (40 marks) Mary is the director of purchasing of Pax Limited. According to the Articles of Page 1 BNU-HKBU PGCC Summer Vacation Peer Mentor Class Final Assignment Association of Pax Limited, the director of purchasing may make the purchasing order only if he/she is empowered by majority in board of directors. The board of directors allows Mary to make the order within HKD1,000,000 a month. Mary ordered HKD2,000,000 of study material from Sandy, salesperson of Excel Limited. Few days later, when April, managing director of Pax Limited, finding out that Mary acted out of her power, April canceled the order to Sandy. April argued that she just followed the Articles of Association of Pax Limited. Required: (1) Was April's argument correct from Pax Limited's perspective? (15 marks) (2) When Excel claims for damages for breach of contract, whether Excel would be successful? (15 marks) (3) Is there any difference to your answer in (2) if Mary keeps on ordering from Sandy every month in the past 2 years? (10 marks) Question 3 (40 marks) Mary is the director of purchasing of Pax Limited. According to the Articles of Page 1 BNU-HKBU PGCC Summer Vacation Peer Mentor Class Final Assignment Association of Pax Limited, the director of purchasing may make the purchasing order only if he/she is empowered by majority in board of directors. The board of directors allows Mary to make the order within HKD1,000,000 a month. Mary ordered HKD2,000,000 of study material from Sandy, salesperson of Excel Limited. Few days later, when April, managing director of Pax Limited, finding out that Mary acted out of her power, April canceled the order to Sandy. April argued that she just followed the Articles of Association of Pax Limited. Required: (1) Was April's argument correct from Pax Limited's perspective? (15 marks) (2) When Excel claims for damages for breach of contract, whether Excel would be successful? (15 marks) (3) Is there any difference to your answer in (2) if Mary keeps on ordering from Sandy every month in the past 2 years? (10 marks)