As a general rule, a promise must be supported by consideration. Describe any two exceptions to this rule
Two exceptions to the requirement of consideration are:
1. Voluntary Subscriptions
When charitable enterprises are financed by voluntary subscriptions of many people, the promise of each person is generally held to be enforceable. When a number of people make pledges to or subscribe to a charitable association or to a church, for example, the pledges or subscriptions are binding. Despite the fact that such promises lack the technical requirements of ordinary contracts, the courts in most states will enforce the promises as a matter of public policy.
2. Promissory Estoppel
Although not supported by considerations, courts enforce some promises on the basis of promissory estoppel. According to this doctrine, if one person makes a promise to another, and that other person acts in reliance on the promise, the promisor will not be permitted to claim lack of consideration. Enforcement is held to be proper when the promisor should reasonably expect to cause, and does cause, action by the promisee, and the promisee would be harmed substantially if the promise were not enforced. The theory has gained support as a means of realizing justice.
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The basis of accounting that fails to take into consideration amounts earned that are not collected and expenses incurred but are not paid is the _________________________
Fill in the blank(s) with correct word
Furniture is high in credence qualities
Indicate whether the statement is true or false
Why is the Web experience different for mobile phone users than for people who are surfing from a computer?
A) smaller screen sizes B) longer download times C) lack of software D) all of the above E) none of the above
According to the economic order quantity model, if the holding costs are high, then ______.
A. our order quantities will be smaller to keep our annual holding costs low B. our order quantities will be higher to keep our annual holding costs low C. this is an indication that the quantity held in inventory is too high D. this is an indication of poor inventory management