Under What Circumstances Would a Judge Determining a Remedy to a Commercial

question 32

Multiple Choice

Under what circumstances would a judge determining a remedy to a commercial dispute consider that a contract does not exist even though all of the required elements of reaching an agreement are present?

• A) A phrase indicates the agreement is subject to formal contract.
• B) A contract lacks sufficient consideration for both parties.
• C) A contract lacks adequate consideration for both parties.
• D) A phrase indicates the agreement is subject to its exact wording..

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Definitions:

Average Fixed Costs

The total fixed costs of production divided by the quantity of output produced, illustrating how fixed costs dilute as production increases.

Average Total Costs

The total cost of production divided by the number of units produced, reflecting the average cost per unit.

Total Variable Cost

The total of all costs that vary with output level, including materials, labor, and other expenses that increase as production increases.

Implicit Costs

The opportunity costs of using resources owned by the firm for its own use, rather than earning income from these resources elsewhere.