John entered into a contract with Miriam to build her a walnut dining room table for $1,000. A few days later, the price of walnut lumber increased 200%, which will result in John's incurring a $300 loss on the table. Due to the price increase, John is automatically excused from performance under the contract

Indicate whether the statement is true or false


False

Business

You might also like to view...

What are the subsystems of the revenue cycle?

Business

What is the purpose of the Request for Proposal (RFP)?

Business

Which of the following is when compensation is tied to unit-level performance where revenue increases (or cost savings) are shared with an employee?

A. piece-meal plan B. gain-sharing plan C. stock options D. profit-sharing plan

Business

Jiminez Company has two investment opportunities. Both investments cost $5800 and will provide the following net cash flows:YearInvestment A Investment B1 $3400?    $3400?  2  3400?     4480?  3  3400?     2400?  4  3400?     1160?  What is the net present value of Investment A's cash flows assuming an 9% minimum rate of return? Use Appendix Table 2. (Do not round intermediate calculations. Round your answer to the nearest whole dollar.)

A. $5215. B. $12,006. C. $3400. D. $9565.

Business