Question Four: Webster is a director of Pap adapolis Ltd. Papadapolis Ltd sells toy dolls called "Cute Kids". The dolls are not selling well and the company is running low on working capital. To remedy the situation, Webster obtains an unsecured loan in the amount of $1 million. Webster thinks that the company will be able to pay the loan back because it is nearing the end of the year and his projections suggest he will sell lots of dolls around Christmas. Unfortunately, things don't go as expected and Webster doesn't sell as many dolls as anticipated. It is now January - a slow period for selling dolls. Webster is aware of section 5836 of the Corporations Act and doesn't want to Iriolate it. Accordingly, he hires shoddy E. Dodgy accountants too prepare a solyency report. The report shows that Papadapolis Ltd has net assets and, based on projections, can pay its debts when the fall due. Based on the report, Webster has the company enter into a contract to purchase Sill million of material for the manufacture of the dolls: {al It transpires that shoddy El Dodgy's report was incorrect and Papadapolis Ltd is placed into liquidation. Does Webster haye any liability under s 5836? {b} What about if Webster was ill when the contract was entered into and it was his fellow directors that decided to move forward with the contract? {cl What about if Webster didn't get the shoddy 3i. Dodgy report but thought that the company was performing well? {d} Would it make any difference if Webster's fellow directors were eager to enter into the contract but Webster was against it? How would have you adyised Webster