Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

Question 6(2 points) Davis, a supplier of religious items, needs to obtain an inventory of metal crosses. He contracts with Petterman to make and deliver

Question 6(2 points)

Davis, a supplier of religious items, needs to obtain an inventory of metal crosses. He contracts with Petterman to make and deliver 10,000 crosses at $1.00 per cross. Petterman manufactures and delivers half of the crosses and Davis pays $5,000. Petterman then tells Davis that the price has gone up to $1.50 per cross. Davis agrees because he needs the crosses. When Petterman delivers the crosses,what price is she entitled to be paid?

Question 6 options:

A)

At a rate of $1.00 each, because there was no consideration to support Davis' promise to pay $1.50 each.

B)

At a rate of $1.50 each, if the modification was requested in good faith.

C)

At a rate of $1.50 each, because Petterman is the master of the offer.

D)

At a rate of $1.00 each, because one cannot change the price after performance has begun

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial and Managerial Accounting

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

3rd edition

978-1-119-3916, 1119392132, 1119392136, 9781119391609, 1119391601, 978-1119392132

Students also viewed these Law questions