Question

In: Finance

1.S sold B a commercial land for 1M Php. S assured B that it is certain...

1.S sold B a commercial land for 1M Php. S assured B that it is certain that in two years
time, the land would increase in market value by 50% or 1.5M Php. It turned out that the
market value of the land even decreased to about 800,000 Php. Is S liable to B for
misrepresentation?

2. What S sold to B, hardware owner, are 500 bags of cement. S had every reason to

believe that the price of cement would go down. After two weeks, it did go down. Has B

the right to have the sale annulled?

Solutions

Expert Solution

For both question there is some ethics which is use in business that business ethics mentioned below :-

With the help of that points easily to understand the both question.

Awnser 1.

No S is not liable for the misrepresentation because market value of land is totally depends on market. For example if the value of land is increased as per the market value. When S sold the land to B value of land is less after some time market value of that same land is increased 800,000 php.

Awnser 2.

​​

jeff jeffy answered 2 years ago
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