Alan Lives in a Beach Front Home and One Morning

question 37

Essay

Alan lives in a beach front home and one morning discovers an adult woman who has washed up on shore and is unconscious.Alan takes her into his home and administers aid to her.She awakens after a few hours but has amnesia,not knowing who she is or how she ended up washed ashore on his property.Alan cares for her for two weeks when her memory returns.She fell overboard while sailing with her wealthy parents on their yacht.She tells him that her name is April and she provides him with contact information for her parents.Naturally,when Alan calls they are ecstatic.They tell Alan that they will fly in to pick her up the next day and that he should tally up his expenses and that they will reimburse him for his costs.When they arrive,Alan gives them the cost sheet which they refuse to pay.Does Alan have any rights against the parents? Does Alan have any rights against April?

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Definitions:

Predetermined Overhead Rate

An estimated rate used to allocate manufacturing overhead costs to individual units of production, based on a selected activity base.

Direct Labor-hour

The number of labor hours spent on the direct production of goods or services.

Manufacturing Overhead

Costs incurred from the manufacturing process, which exclude both direct labor and materials, are categorized as indirect costs.

Estimated Total

An approximation of the total value, cost, or quantity of a particular item or project.