Cut-Rate Construction Company (CCC) Begins Building a Restaurant for Diners

question 31

Multiple Choice

Cut-Rate Construction Company (CCC) begins building a restaurant for Diners Restaurants, Inc., but after two months demands an extra $100,000. Diners agrees to pay.
-Refer to Fact Pattern 11-3.If CCC offers no reason for the extra $100,000,but says only that it will otherwise stop construction,the agreement is

• A)enforceable as an accord and satisfaction.
• B)enforceable because of unforeseen difficulties.
• C)unenforceable as an illusory promise.
• D)unenforceable due to the preexisting duty rule.

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Definitions:

Population Growth Rate

The rate at which the number of individuals in a population increases in a given time period, typically expressed as a percentage of the population.

Per Capita Incomes

Per capita incomes represent the average income earned per person in a specific area, calculated by dividing the area's total income by its population, indicating the general wealth of the population.

Economic Growth

An increase in the production of goods and services in an economy over a period of time, indicating improvement in the standard of living.

Human Resources

The department of a business or organization that deals with the hiring, administration, and training of personnel.