Hillary Is a Nerdy Bookworm Couch Potato Who Rarely Goes

question 62

Multiple Choice

Hillary is a nerdy bookworm couch potato who rarely goes out of her home except to go to work as a deskbound CPA.She wears a sweater almost every day including during the summer and is always complaining about being cold.Edmund,a coworker,tells Hillary that he will give her $1M if she climbs Mt.Everest.Edmund doesn't believe that she'd even give the offer a second thought.Hillary,without saying anything to anyone,starts an intensive training program to whip herself into shape and six months later,during her vacation,in fact,climbs Mt.Everest.Upon returning to work,she presents Edmund a picture of herself on the summit of Mt.Everest and demands her $1M.Edmund tells her that they never had a contract so he owes her nothing and Hillary claims that the money is owed based on promissory estoppel.

• A) promissory estoppel only applies if Edmund was very rich because $1M is a lot of money
• B) promissory estoppel applies whether Edmund was rich or not
• C) promissory estoppel does not apply because Edmond had no reason to believe that Mary would rely on his promise
• D) promissory estoppel does not apply because Mary must announce that she accepts his offer for it to create an obligation to pay

Comprehend the concept of opportunity cost and its calculation.

Identify the principle of comparative advantage and its importance in specialization and trade.

Recognize different types of capital and their roles in the economy.

Understand the outputs in the production process and their value to households.

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Definitions:

Acquisition

An acquisition involves one company purchasing most or all of another company's shares or assets, effectively taking control over the acquired company.

Fair Value Adjustments

Modifications made to the reported value of assets or liabilities to reflect their actual market value.

Business Combination

This occurs when two or more businesses come together to form a single company, often through acquisitions or mergers.

Recording Method

A system or standard procedure for capturing financial transactions and events in an organization's accounting records.