You have just been promoted as the Logistics Manager for ABC Corporation. On your first day, you are handed a file that has been labelled as problematic. Given that you have taken Transportation Law, the President asks you to review the file for legal issues. The file deals with damaged machinery that was flown into Vancouver from France 10 days ago. Two machines were flown under one air way bill. One machine that had been purchased for $150,000 was a write off; it weighed 7,000 kg. The other machine had been purchased for $100,000, weighed 5,000 kg and was undamaged. Unfortunately, the second machine had limited functions when not employed in tandem with the first machine. The air waybill indicates that any legal action with respect to the carriage needs to be brought in Paris. The air waybill has no declared value on it.

Question 4/4:

What is the amount that ABC will be able to recover for the equipment?

Select one:

a. $204,000.

b. $250,000

c. $119,000

d. $150,000