Which of the Following Was the Result in Cousins Subs

question 53

Multiple Choice

Which of the following was the result in Cousins Subs Systems,Inc.v.Michael R.McKinney,the case in the textbook in which defendant McKinney asserted in a counterclaim that he was entitled to terminate an agreement requiring that he operate submarine sandwich shops because Cousins Subs Systems,Inc.failed to meet promises it verbally made to him?

• A)That based on principles of equity,McKinney could rely on oral statements in contradiction of the written agreement involved.
• B)That the oral agreements could be relied upon by McKinney because they supplemented,rather than contradicted,the written agreement.
• C)That the alleged oral agreements contradicted the written agreement signed by McKinney and would not,therefore,be considered.
• D)The alleged oral statements should be considered by the jury in order to determine the actual agreement between the parties.
• E)That the written agreement failed to set forth fair principles,but that the alleged oral agreements would be disregarded in favor of a form contract contained in the state's franchise law.

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Definitions:

Cost Per Unit

The total expense involved in creating a product, divided by the number of units produced, giving a per-unit cost.

Journal Entries

Recorded transactions in a company's general ledger, showing accounts affected and amounts, to maintain accurate financial records.

Process Cost System

An accounting system used in manufacturing where costs are assigned to batches or processes, suitable for homogeneous products.

Work In Process

Work in process (WIP) refers to the materials and goods that are in the production process but have not yet been completed.