Rorzex, Inc

question 58

Multiple Choice

Rorzex, Inc. entered into a contract with Denzil under the terms of which Denzil would receive $20,000 if he stole trade secrets from the leading competitor of Rorzex. Denzil performed his end of the agreement by delivering the trade secrets. Rorzex now refuses to pay Denzil for his services. Denzil:

• A) may recover based upon the express contract of the parties.
• B) may recover based upon a quasi-contractual theory in order to prevent the unjust enrichment of Rorzex.
• C) will be unable to recover, because this is an illegal contract.
• D) will be able to recover based upon promissory estoppel, because he has detrimentally relied upon the promises made by Rorzex.

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Definitions:

MC Curve

The MC Curve, or Marginal Cost Curve, represents the change in total cost that arises when the quantity produced is incremented by one unit. It is crucial in determining the optimum production level.

AVC Curve

The Average Variable Cost curve depicts the per-unit variable cost of production as a function of total output.

ATC Curve

The Average Total Cost curve, illustrating how the total cost per unit of output changes with the level of output.

Marginal Output

The additional output that can be produced by adding one more unit of a particular input, while holding all other inputs constant.