Late one evening Charles and Henry are discussing the purchase and sale of $2,500 of coffee shop equipment after entrepreneurship class. They are in the classroom when Henry writes their agreement on the classroom whiteboard and both Henry and Charles sign it on the whiteboard. Discuss if this whiteboard document is sufficient to provide a binding written agreement?
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- A partnership agreement should include all of the following EXCEPT: (A) An indication of each partner's percentage of profits or losses. (B) The amount of cash or property which has been contributed by each of the partners. (C) How reimbursements for out-of-pocket expenses will be handled. (D) The amount of each partner's salary that they will receive each year.Able does not ever want Baker's shares to be transferred to Baker's brother, who has been convicted of criminal fraud and embezzlement on several occasions and who is currently serving time in a federal prison for one of those convictions. Which of the following types of restrictions on the transfer of Baker's shares might Able insist to accomplish this, even if Carter and Dennis don't share Able's concerns? Multiple Choice A put agreement Option agreement Provision disqualifying purchasers Buy-and-sell agreement Right of first refusalWhat is a continuation agreement? Why is it important in an LLP?
- 3. With respect to foreclosure, give the reason you agree or disagree with the statements below: a. A foreclosure sale eliminates the outstanding debt(s) of the individual being foreclosed. b. Proceeds of a foreclosure sale are distributed to those holding a lien on the property on the basis of the percentage of total debt each is owed. c. Foreclosure means the senior mortgage loan lender automatically takes ownership of the property.In this unit, we have been examining under what grounds a contract may be rescinded or declared void and voidable. This assignment asks you to review a hypothetical business situation and conduct an analysis. Consider the following hypothetical: Ed contracted with Becky to build a house.Immediately prior to that meeting, Becky was so nervous that she drank an entire bottleof champagne and she does not remember all of the details of the meeting. Shortlybefore the closing, Ed met with Becky, accused her of fraud and threated to prevent thecontract from going to closing. Ed’s associate, a former stunt double for Dwayne “theRock” Johnson, stood outside the door for two hours to prevent Becky from leaving. Edgave Becky the choice of signing a new contract promising him more money for thebuild or going to court. Becky signed the agreement but now has sought legal advice.• Imagine that you are Becky’s attorney. What would you tell her about whethershe can rescind the contract? (Big Hint:…घ On Section III of the loan application, what should be entered for the number of dependents and the dependent's ages? O Two dependents, ages 2 and 9 O Three dependents, ages 2, 9, and 18 O Four dependents, age 2, 9, 18, and 22 O Five dependents, ages 2, 9, 18, 22, and 39
- ESSAY. Write your answer in the space provided or on a separate sheet of paper. 1) Ms. Linda Udall owns 800 shares of Fordam Inc. that she acquired several years ago at $10 per share. On April 30, 2020, she acquires an additional 200 shares at $12 per share. On July 15, 2020, after Fordam releases unexpectedly bad second quarter results, Ms. Udall sells all 1,000 of her shares at $5 per share. On August 1, 2020, she purchases 200 shares at $1 per share as she believes the market has overreacted to the bad news. Ms. Udall is still holding the shares at the end of the year. What are the tax consequences of these transactions? 2) On July 1, 2020, Lorty InC. sells equipment for S126,000. This equipment had an original cost of $111,000 and a net book value of $93,000. For tax purposes, these assets were in Class 8. The UCC balance in this class on Januarv 1, 2020 was $103,000. There were no other additions or dispositions of Class 8 assets during the taxation vear ending December 31, 2020.…If any of the owners decided eventually to sell any or all of their shares and had identified a potential buyer, they all agreed that Ay-Bee-Cee-Dee Corp. should be granted the right to match the offer of the potential buyer and, thereby, buy back the shares rather than allowing that potential buyer to become a part owner of the company. To accomplish this, which of the following types of restrictions on transfer needs to be attached to the shares? Multiple Choice Provision disqualifying purchasers Buy-and-sell agreement Consent restraint Right of first refusal Option agreement1. What are the general characteristics of bailments? 1a. List and describe the elements of a bailment. 1b. Describe the various types of bailments and provide an example of each.
- Todd and Mary own a local store. They would like to establish a business plan to ensure it will continue to operate in the event an owner becomes disabled or dies. They do not want to change the structure of their business nor do they want to relinquish any control of the company. Which one of the following statements satisfies Todd and Mary's goals? A)A buy-sell agreement would allow them to continue operating the company without additional participants, while a recapitalization could decrease their ownership interests. B)A buy-sell agreement should be used because it assures the owners of a market for their business, while a recapitalization does not. C)A buy-sell agreement should be used because it allows the owners to set a desired purchase price in a private agreement that cannot be scrutinized by the IRS. D)A buy-sell agreement would enable the owner to create a market for the business; however, gift tax may be incurred when interests are gifted..What are the key elements required to establish a contingent contract?"Ed Sabol, a once unhappy coat salesman, had a passion for filming his sons high school football games and other activities. Word of Eds filming abilities soon got around and he found himself working a number of local high school games. This led to Eds successful bid ($3,000) to film the 1962 NFL championship game. Then Commissioner Pete Rozelle was so impressed with the work that he agreed to Eds proposal to create a new entity known as NFL Films that would both preserve the history of the game and promote it to the nations sports fans. NFL Films creative approach to the game has resulted in 82 Emmy Awards to date. Ed retired in 1987, turning the reins over to his son Steve who has taken the company to new heights thanks in part to his empowering leadership style and product innovation. The company now has a 200,000 square foot state-of-the-art facility. Q1. Identify the entrepreneurial traits that Ed Sabol and his son Steve exhibit? Q2. How would you characterize the Sabols…