Negotiate for the sale of eighty-four sets of tires

Assignment Help Financial Management
Reference no: EM131016280

Truck Parts, Inc. (TPI), often sells supplies to United Fix-It Company (UFC), which services trucks. Over the phone, they negotiate for the sale of eighty-four sets of tires. TPI sends a letter to UFC detailing the terms and two weeks later ships the tires. Is there an enforceable contract between them? Why or why not? Discuss and provide laws to support your premise.

Reference no: EM131016280

Questions Cloud

How will this charge in policy affect accounts receivable : Suppose a corporation sells 5,000 units of a product each year at a price per uit of $380. All sales are on credit with terms of 1/10, net 30. The discount is taken by 35 percent of th customers. What is th amount of the company's account receivable?..
Rationale and inhibitors for statistical process control : Rationale and Inhibitors for Statistical Process Control (SPC) You are the manager of corporate accounts in a multinational bank and are being considered for a significant promotion as a senior manager who will be responsible for managing SPC in the ..
Main way to protect yourself against debit card fraud : Although debit cards are convenient to use, they can be risky to use. Why? What is the main way to protect yourself against debit card fraud? What should you do on a regular basis to detect identity theft?
Calculate the base case cash flow and npv : We are evaluating a project that costs $864,000. Has an eight-year life and has no salvage value. Assume that depreciation is straight line to zero over the life of the project. Sales are projected at 71,000 units per year. Calculate the accounting b..
Negotiate for the sale of eighty-four sets of tires : Truck Parts, Inc. (TPI), often sells supplies to United Fix-It Company (UFC), which services trucks. Over the phone, they negotiate for the sale of eighty-four sets of tires. TPI sends a letter to UFC detailing the terms and two weeks later ships the..
Compute the aftertax cost of the borrow-purchase alternative : Preston Corporation is considering whether to borrow funds and purchase an asset or to lease the asset under an operating lease arrangement. If the company purchases the asset, the cost will be $110,000. It can borrow funds for four years at 12 perce..
What is the implied risk-free rate : The prices of European call and put options on a non-dividend-paying stock with 12 months to maturity, a strike price of $120, and an expiration date in 12 months are $25 and $5, respectively. The current stock price is $135. What is the implied risk..
How the investors profit or loss varies with the stock price : The price of a stock is $40. The price of a one-year European put option on the stock with a strike price of $30 is quoted as $7 and the price of a one-year European call option on the stock with a strike price of $50 is quoted as $5. Draw a diagram ..
What is the margin requirement if the stock price : A trader writes five naked put option contracts, with each contract being on 100 shares. The option price is $10, the time to maturity is six months, and the strike price is $64. What is the margin requirement if the stock price is $58? How would the..

Reviews

Write a Review

Financial Management Questions & Answers

  Linear regression

The Electrocomp Corporation manufactures two electrical products: air conditioners and large fans. The assembly process for each is similar in that both require a certain amount of wiring and drilling. Each air conditioner takes 3 hours of wiring and..

  Explain the theory behind free cash flow valuation approach

Explain the theory behind the free cash flow valuation approach. Why are the free cash flows value relevant to common equity shareholders when they are not cash flows to those shareholders, but rather are cash flows into the firm?

  Firm is debt financed and what is the after-tax cost of debt

A firm has issued $ 20 million in long-term bonds that now have 10 years remaining until maturity. The bonds carry an 8% annual coupon but are selling in the market for $877.10. The firm also has $45 million in market vale of common stock. If the ris..

  What is the present value of that annuity if discount rate

An investment will provide you with $100 at the end of each year for the next 10 years. What is the present value of that annuity if the discount rate is 8% annually? What is the present value of the above if the payments are received at the beginnin..

  What will the price be in five years and in fourteen years

Anton, Inc., just paid a dividend of $3.05 per share on its stock. The dividends are expected to grow at a constant rate of 5.5 percent per year, indefinitely. Assume investors require a return of 10 percent on this stock.What is the current price? W..

  What is the internal rate of return

Microwave oven programming inc is considering the construction of a new plant. The plant will have an initial cash outlay of $5.8 million (= -5.8 million) and will produce cash flows of 2.1 million at the end of year 1, $4,9 million at the end of yea..

  Expected return-what must the risk-free rate be

A stock has an expected return of 15 percent, its beta is 1.35, and the expected return on the market is 12 percent. What must the risk-free rate be? (Do not round your intermediate calculations.)

  Contribute per month to reach her goal

Monica has decided that she wants to build enough retirement wealth that, if invested at 10 percent per year, will provide her with $5,200 of monthly income for 20 years. To date, she has saved nothing, but she still has 25 years until she retires. H..

  Budget actual current monthly salary before tax

Budget profile for a medical Resident monthly Budget Actual Current Monthly salary before tax $5,000 Retirement deduction before taxes $350 pretax contribution $300 Housing $900 utilities $70 $65 Food $700 $500 Gas $125 $100 Car payment $400 cell pho..

  Finding the optimal capital balance seems quite nebulous

It seems clear that more debt leads to more risk, which is bad, but more debt also leads to higher expected returns, which is good. However, finding the optimal capital balance seems quite nebulous. Moreover, the textbook indicates that capital struc..

  Common stock value-variable growth model

Newman Manufacturing is considering a cash purchase of stock of Grips Tool. During the year completed, Grips earned $4.25 per share and paid cash dividends of $2.55 per share (D0=$2.55). Grips' earnings and dividends are expected to grow at 25% per y..

  Determine the value of the bond

National Steel 15-year, $1000 par value bonds pay 5.5 percent interest annually. The market price of the bonds is &1,085, and your required rate of return is 7 percent. a. Compute the bonds expected rate of return. b. Determine the value of the bond ..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd