Which of the Following Statements Is TRUE

question 71

Multiple Choice

Which of the following statements is TRUE?

• A)The doctrine of promissory estoppel can be used to create a new contract between parties who do not have any pre-existing relationship.
• B)The decision in London Drugs Ltd v Kuehne & Nagel International Ltd requires proof that the relevant contractual clause expressly refers to the employee.
• C)The decision in Central London Property Ltd v High Trees House Ltd created a new equitable doctrine that allows for the enforcement of some gratuitous promises.
• D)The decision in Pao On v Lau Yiu Long stands for the proposition that a contract may exist if a person gives an implied promise to pay when requesting the provision of goods or services.
• E)An equitable assignment is possibly only if the parties created a contract that is valid in equity, but not in law.

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Definitions:

Job Order Costing

A cost accounting system that assigns manufacturing costs to an individual product or batches of products, typically used for custom orders or unique products.

Cost-Benefit Decision

The process of comparing the costs and benefits associated with a decision, project, or investment, to determine its feasibility or profitability.

Customer Profitability

The profit that a company makes from serving a particular customer or client group over time.

Gross Margin

The difference between sales revenue and the cost of goods sold, representing the profitability of selling inventory.