Chris Receives a Printed Form in the Mail from Wyandott

question 48

Multiple Choice

Chris receives a printed form in the mail from Wyandott Heating indicating that he has placed a telephone order for a $600 heater.He doesn't recall placing the order.Which of the following is correct?

• A) Wyandott can hold Chris to the order.
• B) Chris can hold Wyandott to the order.
• C) Neither party is bound,because there is no signed writing.
• D) Chris is bound if he makes no objection within 10 days.

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Definitions:

Common Stock

A type of equity security that represents ownership in a corporation, providing voting rights and a share in the company's profits through dividends.

Par Preferred Stock

Preferred shares issued at a stated value (par value), which typically determines the dividend payments and is considered during liquidation.

Journalize

The process of recording transactions in a journal, which includes detailing the financial transactions of a company in chronological order.

Earnings Per Share

A financial metric calculated by dividing the net earnings of the company by the number of outstanding shares of its common stock.