Business

10 June, 09:50

Benny bought shares in Big Chip Maker (BCM) when the shares were trading for $37 a share. For the past 9 years BCM shares have not traded above $21. Can Benny rescind his purchase based on failure of consideration?

a. Yes, he clearly gave more value than he received. b. Yes, he suffered an economic detrimentc. Yes, there is a difference in value sufficient to trigger the adequacy of consideration rule. d. No, unless he was induced into buying the shares through fraud or other wrongdoing.

+4

Answers (1)

Know the Answer?

Not Sure About the Answer?

Find an answer to your question 👍 “Benny bought shares in Big Chip Maker (BCM) when the shares were trading for $37 a share. For the past 9 years BCM shares have not traded ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.

Search for Other Answers

You Might be Interested in

Suppose the governments of two different economies, economy A and economy B, implement a permanent tax cut of the same size. Investment spending in economy A is less sensitive to changes in the interest rate than investment spending in economy B.

Apply the accounting equation to the following problem. Total assets of Charter Company equal $700,000, and its equity is $420,000.

Based on what you have read, if Jasmine works at the supermarket, what is her opportunity cost? working at a new job earning extra spending money gaining job experience missing out on playing basketball

What might members of a professional organization be doing when they refer to the organization's code of ethics?

Ray Corp. declared a 5% stock dividend on its 10,000 issued and outstanding shares of $2 par value common stock, which had a fair value of $5 per share before the stock dividend was declared.

New Questions in Business

Marquese is making 10 pounds of trail mix from raisins and nuts. Raisins cost $3.45 per pound, and nuts cost $7.95 per pound. How many pounds of raisins and how many pounds of nuts should marquese use for the trail mix to cost him $6.96 per pound?

Ten Pins Manufacturing has 9 million shares of common stock outstanding. The current share price is $81, and the book value per share is $8. The company also has two bond issues outstanding.

The higher the price of an antique, the greater people's expectation that the object is rare. That, in turn, makes the antique appear more valuable. If the statements above are correct, then offering an antique for sale at a bargain price:

Elmer received the following distributions from Virginiana Mutual Fund for the calendar year 2019: Ordinary dividends $250 Capital gain distributions $170 Nontaxable distributions $80 Elsie, Elmer's wife, did not own any of the Virginiana Mutual

Ocean Vessels, Inc., and Pacific Harbor Company enter into a contract for a sale of a boat. Ocean is a merchant who deals in goods of the kind sold. The goods are defective. Under the UCC, the implied warranty of merchantability is breached a.