Question

In: Finance

Ishmael’s, a local grocer, offers to purchase all of the corn produced by Whittaker Farms for...

Ishmael’s, a local grocer, offers to purchase all of the corn produced by Whittaker Farms for $4.15/bushel. Whittaker Farms agrees. Although at first glance this looks like an illusory contract because Whittaker Farms is not obligated to produce any corn, it is actually a valid ____ contract.

Solutions

Expert Solution

it is actually a valid Bilateral contract.

-

A bilateral contract is a contract in which both the party to the contract offered promises that is accepted by giving of return promise. It is an agreement formed by exchange of promises in which promise of one party(Here Local Grocer) is supported with the promise of other party(Whittaker).


Related Solutions

Your client is a local independent grocer with five stores which competes with a number of...
Your client is a local independent grocer with five stores which competes with a number of large grocery chains. It purchases goods from several large grocery supply chains as well as from various vendors that sell directly to the store. Some vendors offer various advertising rebates or other price concessions for stocking goods. Explain how your knowledge of the business and industry would impact your audit of total purchases and accounts payable for the client.
There are 300 purely competitive farms in the local dairy market. Of the 300 dairy farms,...
There are 300 purely competitive farms in the local dairy market. Of the 300 dairy farms, 298 have a cost structure that generates profits of $18 for every $300 invested.   A. What is the percentage rate of return for these 298 dairies? B. The other two dairies have a cost structure that generates profits of $26 for every $200 invested. What is their percentage rate of return? C. Assuming that the normal rate of profit in the economy is 10...
Leopold Farms grows soybean and corn on its 500 acres of land. An acre of soybeans...
Leopold Farms grows soybean and corn on its 500 acres of land. An acre of soybeans (x­1) earns $100 profit and an acre of corn (x2) earns $200 profit. Because of a government program, no more than 200 acres of soybeans may be planted. During the planting season, 1,200 hours of planting time will be available. Each acre of soybeans requires 2 hours of planting and each acre of corn requires 6 hours of planting. In addition, Leopold Farms has...
QUESTION 1 Bar Limited is a company that farms corn. Bar Limited is a relatively new...
QUESTION 1 Bar Limited is a company that farms corn. Bar Limited is a relatively new company in the corn industry, having previously been in the furniture manufacturing industry. Bar Limited was awarded a government grant of R 500 000 on 1 January 2015, the details of which are as follows: a) R 300 000 is to assist with the purchase of new harvester; b) R 200 000 is for immediate financial support and is not associated with any future...
Walnut Orchard has two farms that grow wheat and corn. Because of different soil conditions, there...
Walnut Orchard has two farms that grow wheat and corn. Because of different soil conditions, there are differences in the yields and costs of growing crops on the two farms. The yields and costs are sown in the table below. Each farm has 100 acres available for cultivation; 11,000 bushels of wheat and 7,000 bushels of corn must be grown. Use LP to determine a planting plan that will minimize the cost of meeting these demands. Farm 1 Farm 2...
   1.   Suppose that cans of creamed corn are produced in a normal distribution so that the...
   1.   Suppose that cans of creamed corn are produced in a normal distribution so that the average net content weight is 16.00 ounces per can, with a deviation of 0.12 ounces. What is the probability that a sample of 36 cans would have an average net content weight less than 15.91 ounces? Would this be an unusual or not unusal average weight for the sample? . 2.   Suppose that cans of creamed corn are produced in a normal distribution so that...
Eastside Farms is considering the purchase of a mechanical harvester. It costs $180,000 and is expected...
Eastside Farms is considering the purchase of a mechanical harvester. It costs $180,000 and is expected to last for five years. They presently hire 10 workers at $3,000 per month for each of the six harvesting months each year. The equipment would eliminate the need for 3 workers. Eastside projects a salvage value of $23,000. Ignoring the tax implications and assuming the opportunity cost of funds is 8.0%, what is the Net Present Value (NPV) of this proposed investment?
Eastside Farms is considering the purchase of a mechanical harvester. It costs $180,000 and is expected...
Eastside Farms is considering the purchase of a mechanical harvester. It costs $180,000 and is expected to last for five years. They presently hire 10 workers at $3,000 per month for each of the six harvesting months each year. The equipment would eliminate the need for 3 workers. Eastside projects a salvage value of $23,000. Ignoring the tax implications and assuming the opportunity cost of funds is 8.0%, what is the Net Present Value (NPV) of this proposed investment?
Ethanol (CH3CH2OH) can be produced from sugars and starches in crops such as corn or sugarcane....
Ethanol (CH3CH2OH) can be produced from sugars and starches in crops such as corn or sugarcane. Ethanol is used as a gasoline additive and when completely burned, it combines with oxygen to form CO2 and H2O. Write the balanced equation for the complete combustion reaction and calculate the net energy change per mole of ethanol. Bond Energy C – H → 416 kJ/mol O – H → 467 kJ/mol C – C → 356 kJ/mol C – O → 336...
The amount of beef produced on private farms in a particular country has changed over time....
The amount of beef produced on private farms in a particular country has changed over time. This table gives approximate values for the amount of beef produced for particular years in that country. Years since 1989 Amount of beef produced (million pounds; nearest hundredth) 0 108.35 5 101.95 9 96.85 12 90.15 15 83.05 19 79.75 22 76.25 27 73.45   1.With linear regression, what is the value of the coefficient of determination (give the entire decimal)? 2. With quadratic regression,...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT