Explain with an Example How Promissory Estoppel Affects the Consideration

question 14

Essay

Explain with an example how promissory estoppel affects the consideration requirement of contract law.

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Definitions:

Machine-Hours

A measure of the amount of time a machine is operated, used in calculating manufacturing costs and activity bases.

Machining Department

A specific section within a manufacturing facility where machining processes such as cutting, drilling, or milling are performed.

Predetermined Overhead Rate

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

Direct Labor-Hours

The total hours of labor directly worked on the production of goods or services, used as a basis for assigning labor costs.