Southern motors (seller) agreed to sell to Mr. Bean (Buyer) a specific dump truck for 1,500,000.00 for delivery cash on delivery and the payment of the price to be made on October 15 but Mr. Bean failed to pay the price. What are the remedies of southern motors?
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Southern motors (seller) agreed to sell to Mr. Bean (Buyer) a specific dump truck for 1,500,000.00 for delivery cash on delivery and the payment of the price to be made on October 15 but Mr. Bean failed to pay the price. What are the remedies of southern motors?
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- James Koontz agreed to purchase a Plymouth Sundance from Chrysler Credit Corporation (Chrysler) in exchange for sixty payments of $185.92. Koontz soon thereafter defaulted, and Chrysler notified Koontz that, unless he made the payments, it would repossess the vehicle. Koontz responded by notifying Chrysler that he would make every effort to make up missed payments, that he did not want the car repossessed, and that Chrysler was not to enter his private property to repossess the vehicle. A few weeks later, Chrysler sent the M & M Agency to repossess the vehicle. When he heard the repossession in progress, Koontz, dressed only in his underwear, came outside and yelled, “Don’t take it!” The repossessor ignored him and took the car anyway. Koontz did not physically challenge or threaten the repossessor. a. Discuss the arguments that Chrysler legally repossessed the automobile. b. Discuss the arguments that Chrysler illegally repossessed the automobile. c. Who should prevail?Ventura was on his way to deliver merchandise ordered by his customer when another driver lost control over his truck and rammed it against the truck of Mr. Ventura. As a result, Ventura sustained injuries, his truck was severely damaged, and all the merchandise were destroyed. Negotiations with other party went smoothly and Mr. Ventura was paid the total amount of P3,150,000 for the following:Repair and replacement of truck parts P900,000Total selling price of merchandise destroyed (at P1,000,000 cost) 1,700,000Hospitalization and medical expenses for injuries sustained 300,000Reimbursement for other expenses incurred in relation to the incident 250,000Total P3,150,000How much of the above is gross income of Mr. Ventura for taxation purposes?Mr. Ventura was on his way to deliver merchandise ordered by his customer when another driver lost control over his truck and rammed it against the truck of Mr. Ventura. As a result, Ventura sustained injuries, his truck was severely damaged, and all the merchandise were destroyed. Negotiations with the other party went smoothly and Mr. Ventura was paid the total amount of P3,150,000 for the following: Repair and replacement of truck parts Total selling price of merchandise destroyed (at P1,000,000 cost) Hospitalization and medical expenses for injuries sustained Reimbursement for other expenses incurred in relation to the incident P900,000 1,700,000 300,000 250,000 Total P3,150,000 How much of the above is gross income of Mr. Ventura for taxation purposes? a. P3,150,000 b. P1,950,000 c. P1,700,000 d. P700,000
- Frank's Mini Mart sold a piece of equipment on an installment agreement, to a competitor on the other side of town. The other owner failed to make the payments and Frank had to repossess the equipment. What is Frank's gain or loss on repossessed personal property with a fair market value of $12,000 on the date of repossession, where the seller's basis in the installment obligation at the time of repossession is $7,500, and the costs of repossession were $500? (a) Loss of $500. (b) Gain of $4,000. (c) Gain of $4,500 (d) Gain of $5,000.A company purchased a commercial dishwasher by paying cash of $4,800. The dishwasher's fair value on the date of the purchase was $5,190. The company incurred $490 in transportation costs, $380 installation fees, and paid a $160 fine for illegal parking while the dishwasher was being delivered. For what amount will the company record the dishwasher?A buyer purchases property for $45,000 in cash and assumes the seller's outstanding mortgage balance of $98,500. The lender executes a release for the seller. The buyer fails to make any mortgage payments, and the lender forecloses. At the foreclosure sale, the property is sold for $75,000. Based on these facts, unless state law provides anti-deficiency protection, who is liable, and for what amount? The seller is solely liable for $23,500. The buyer is solely liable for $23,500. The buyer and the seller are equally liable for $23,500. The buyer is solely liable for $30,000
- Simon Sharpe executed and delivered to Ben Bates a negotiable promissory note payable to the order of Ben Bates for $500. Bates indorsed the note “Pay to Carl Cady upon his satisfactorily repairing the roof of my house, (signed) Ben Bates” and delivered it to Cady as a down payment on the contract price of the roofing job. Cady then indorsed the note and sold it to Timothy Tate for $450. What rights, if any, does Tate acquire in the promissory note?Citation Builders, Inc., builds office buildings and single-family homes. The office buildings are constructedunder contract with reputable buyers. The homes are constructed in developments ranging from 10–20 homesand are typically sold during construction or soon after. To secure the home upon completion, buyers must paya deposit of 10% of the price of the home with the remaining balance due upon completion of the house andtransfer of title. Failure to pay the full amount results in forfeiture of the down payment. Occasionally, homesremain unsold for as long as three months after construction. In these situations, sales price reductions are usedto promote the sale.During 2018, Citation began construction of an office building for Altamont Corporation. The total contractprice is $20 million. Costs incurred, estimated costs to complete at year-end, billings, and cash collections for thelife of the contract are as follows:2018 2019 2020Costs incurred during the year $ 4,000,000 $…McClelland Corporation agreed to purchase some landscaping equipment from Agri-Products for a cash price of $500,000. Before accepting delivery of the equipment, McClelland learned that the same equipment could be purchased from another dealer for $460,000. To avoid losing the sale, Agri-Products has offered McClelland a “no interest” payment plan—McClelland would pay $100,000 at delivery, $200,000 one year later, and the final $200,000 in two years. Use the following links to the present value tables to calculate answers.(PV of 1, PVAD of 1, and PVOA of 1) (Use the appropriate factor(s) from the tables provided.) Required: McClelland would usually pay 9% annual interest on a loan of this type. What is the present value of the Agri-Products loan at the delivery date? (Do not round intermediate calculations. Round your final answer to the nearest whole dollar.) What journal entry would McClelland make if it accepts the deal and buys from Agri-Products? (If no entry is required for a…
- A buyer working with QRS Realty wants to make an offer on a property. To save time, the buyer makes a verbal offer of $210,000 and the seller agrees. The offer is: -invalid because it does not include a closing date-unenforceable because it is not in writing-voidable because the licensee did not review the offer-unilateral because the contract is not exclusiveRiker receives $45,000 from Troy as payment for a vehicle that has a fair value of $56,500. The $45,000 constitutes full payment for the vehicle as specified in the sales contract. Assume that the time value of money is viewed as significant for this contract. Required: (a) Did Troy pay Riker before or after delivery of the vehicle? (b) Prepare the journal entry Riker would make to record receipt of Troy’s payment, assuming no interest revenue or interest expense had been recorded previously. (c) Prepare the journal entry Riker would make to record delivery of the vehicle, assuming no interest revenue or interest expense had been recorded previously.Riker receives $36,000 from Troy as payment for a vehicle that has a fair value of $46,600. The $36,000 constitutes full payment for the vehicle as specified in the sales contract. Assume that the time value of money is viewed as significant for this contract. Required: (a) Did Troy pay Riker before or after delivery of the vehicle? (b) Prepare the journal entry Riker would make to record receipt of Troy's payment, assuming no interest revenue or interest expense had been recorded previously. (c) Prepare the journal entry Riker would make to record delivery of the vehicle, assuming no interest revenue or interest expense had been recorded previously. Complete this question by entering your answers in the tabs below. Req A Req B and C Did Troy pay Riker before or after delivery of the vehicle? Troy paid Riker of the vehicle.