Applied Methods Corporation Promises to Give Stock Options to Brad

question 33

Multiple Choice

Applied Methods Corporation promises to give stock options to Brad, a production designer, for processes he has already designed. This promise is

• A) enforceable because it is a new contract.
• B) enforceable because it is an illusory promise.
• C) enforceable because it is supported by past consideration.
• D) unenforce?able.

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Definitions:

Profitable Hire

An employee whose contributions generate more revenue than the cost of their employment, making them financially beneficial to the company.

Marginal Revenue Product

The additional revenue generated from using one more unit of input, commonly used in decision-making about resource allocation.

Total Revenue

The overall amount of money generated by a business from the sale of goods or services, calculated as the unit price times the quantity sold.

Resource Pricing

The determination of the price for natural resources, influenced by factors such as scarcity, demand, and regulatory policies.