Raul Agrees to Ship to Ben One Hundred Ceiling Fans

question 27

Multiple Choice

Raul agrees to ship to Ben one hundred ceiling fans for $5,000. Raul initials his notes of the deal, which include the terms, and files the notes in his office. Ben initials his own notes of the deal, which include the terms, and files the notes in his office. Raul fails to ship the fans. Against Raul, as a contract, the deal is​

• A) ​enforceable, because under the UCC a contract need not written.
• B) ​enforceable, because Raul's initialed notes are a sufficient writing.
• C) ​enforceable, because Ben's initialed notes are a sufficient writing.
• D) ​not enforceable.

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Definitions:

Growth Rate

The measure of the increase in size, number, value, or strength of a business or a segment of its operations over a specific period.

Earnings Per Share

A measure of a company's profitability, calculated as the company's net income divided by the total number of outstanding shares.

Double

An increase by 100% or a factor of two in a particular measure or quantity.

Discount Rate

The interest rate used to discount future cash flows of a financial instrument to present value.