Dex and Carmen are in an auto accident. Dex offers Carmen $2,000 if she promises not to pursue her potential legal claim against Dex. Carmen agrees. Later, Carmen discovers that it will cost $1,500 to repair her car and $4,000 to cover the medical expenses for a latent injury. Refer to Fact Pattern 12-5. The agreement between Dex and Carmen is
A) a covenant not to sue
B) accord and satisfaction.
C) a release.
D) promissory estoppel.
C
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Answer the following statement true (T) or false (F)
________ is the extent to which a new product is consistent with existing cultural values, customs, and practices
A) Compatibility B) Complexity C) Relative advantage D) Comparability E) Tangibility
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Indicate whether the statement is true or false
In January 2014, Bevis Company exchanged an old machine, with a book value of $256,000 and a fair value of $260,000, and paid $40,000 cash for a similar used machine having a fair value of $300,000 . The exchange lacked commercial substance. At what amount should the machine acquired in the exchange be recorded on Bevis' books?
a. $256,000 b. $296,000 c. $300,000 d. $304,000