Contract for Labor and Materials Galen, a purchasing agent for Ziff Construction Company, agreed orally with Houk Lumber to purchase 800 double- hung vinyl windows. The agreed price was $40,000. When Ziff Construction lost its financial backing, it had to cancel its plans for the houses it had planned to build. Houk sued to collect the purchase price.
a. Was this a contract for sale?
b. Was this a contract for labor and materials?
c. Did the contract meet the Uniform Commercial Code requirement of writing?
d. Is it likely that Houk would win the lawsuit?
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Contract for Labor and Materials Galen, a purchasing agent for Ziff Construction Company, agreed orally with...
MULTIPLE-CHOICE questions E1-1.ABC Engineering use cost method to cart engineering use cost method to calculate the stage of completion of its construction act. Total estimated contract costs of their contract are $100 million. In the first year of their contract, ABC Engineering has incurred the following costs: Cost of purchase of raw materials worth $10 million ($5 million of which are unused by the year end) 2. Payment of salaries and wages of $5 million ($1 million of accrued salaries...
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