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1. (a) Explain by reference to case law how the courts make the distinction between a contract of service and a contract for services. What is the importance of this distinction?
(b) Fred is employed by Dan's Garage. John, a customer, fills up with petrol and goes to pay. Because of a mechanical fault there is a difference between the value of the sale shown by the pump and that shown by the terminal which Fred is using. Fred insists that the pump is wrong and that the value of the sale is £5 more than the pump is showing. There is an argument and suddenly Fred gives John a punch which breaks his nose.
John is now claiming against Dan on the basis that he is liable for the damage resulting from the assault.
Explain the legal position to Dan.
A company’s normal selling price for its product is $29 per unit. However, due to market competition, the selling price has fallen to $24 per unit. This company's current inventory consists of 290 units purchased at $25 per unit. Replacement cost has..
Dividend constraints- As firm has $800,000 in paid in-capital, retained earnings of $40,000 (including the current year’s earnings), and 25,000 shares of common stock outstanding. In the current year, it has $29,000 of earnings available for the comm..
Macintosh computers can purchase a piece of equipment that is suspected to yield an 11% return in 10 be financed at 6% with debt. Later in the year the Company said no to the opportunity to purchase a newer machines that would yield a 9% return or co..
Lang Industrial Systems Company (LISC) is trying to decide between two different conveyor belt systems. System A costs $204,000, has a four-year life, and requires $66,000 in pretax annual operating costs. Calculate the NPV for both conveyor belt sys..
A portfolio is invested 40 percent in Stock G and 60 percent in Stock J. The expected returns on these stocks are 10 percent and 15 percent respectively. The standard deviations of these stocks are 10% and 18% and the correlation coefficient between ..
Should we care about executive compensation or how much hedge fund managers earn? How should incentive compensation be changed? Should it be changed? Who can change it? Southwest Airline's CFO hedged fuel prices and saved the company hundreds of mill..
Our case this semester will be Radnet, Inc.: An Acquisition. You will find the case in your coursepack that you purchased from Harvard at the beginning of this semester. The focus of this case is on financial strategy.
The analyst should be careful when evaluating a ratio analysis that: a. the dates of the financial statements being compared are the same b. pre-audited statements are used c. neither a or b d. both a and b
Suppose your company imports computer motherboards from Singapore. The exchange rate is currently 1.5138 S$/US$. You have just placed an order for 39,000 motherboards at a cost to you of 231.20 Singapore dollars each. Calculate your profit if the exc..
Kennedy's has the following estimated quarterly sales for next year. Projected first quarter sales $11,400, second quarter $13,200, third quarter $15,800 & fourth quarter $12,700. The accounts receivable period is 70 days. What is the expected accoun..
Tommy's grandparents have left him a trust fund that will pay him $9,000 a year for eighteen years once he turns twenty one, which is five years from today. Tommy would prefer to have the cash today for a new car, a new snowboard, a season's ski pass..
Garner-Wagner is considering investing in a project that requires an investment of $3,000,000. The project will generate a cash inflow of 500,000 per year for the next 5 years. The cost of capital is 10%. What is the project's net present value?
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