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Instructions:
Homework for BUS3055 Operations Management
Week 2 Discussion Issue Task: Respond to this topic during the second week of discussion. The deadline is June 11 at 12:59 a.m. Accountant’s Liabilities and Warranties
Please examine the link “Doing Discussion Questions Right,” the extended grading criteria for the forum, and any special instructions for this week’s topic before commencing work on this week’s discussion forum.
There are two components to the discussion assignment. Part 1: Choose one of the questions and respond Part 2:
Submit your Part 1 and Part 2 solutions to this Discussion Area by the due date. In one thread, post the solutions to both portions. Part 1 and Part 2 of your answers should be labeled, but do not repeat the scenario language in your responses. Begin reviewing and replying to your classmates as soon as feasible during the week. By the conclusion of the week, you should have reviewed and critiqued the work of other students using the extended rubric.
Part I of the discussion question
Choose one of the scenarios below and explain why it is the best answer. Include any ethical considerations that arise in your remarks. To back up your answer, find at least one scholarly source from the SUO Library or one case that has been decided or is now pending.
1st Scenario: Warranties
Michael, a mechanic, has a 2,000-pound machine to install in his shop. The equipment will have to be lifted to the second storey for installation. Michael goes to Home Depot and informs the manager, Brett, that he requires heavy-duty chain for his auto repair shop. Michael buys a half-ton chain after Brett recommends it. Michael tried to move the piece of equipment off the ground by wrapping the chain around it. The chain suddenly snaps. The equipment is severely damaged when it crashes to the ground. Michael discovered that the job required at least a one-ton chain. Michael initiates a lawsuit against Brett and Home Depot for breaching the implied warranty of merchantability.
Will Michael’s case be successful? Explain the various possibilities as well as the most likely outcome.
Scenario 2: Liability of the Accountant
Memphis Mini Golf and Go Carts (MMGGC) CEO Walker sought to sell the company to Go Carts, Golf & Games. Walker hired Blanchard, an accountant, to undertake an audit of MMGGC to create a foundation for the deal. Blanchard was well aware that Go Carts, Golf & Games will almost certainly rely on the audit report in deciding whether or not to buy the company from MMGGC. MMGGC’s company was profitable, according to Blanchard’s audit report. In agreeing to purchase MMGGC’s business and consenting to the terms of the transaction, William, Go Cart’s president, relied on this study. It was later discovered that the accountant had made several errors and that the business that had been sold was actually insolvent. Walker and Blanchard were sued for damages by William and Go Carts. The accountant was accused of negligently misrepresenting the facts, according to the lawsuit.
Discuss the reasons for each side, decide who should win, and back up your conclusion with legal evidence.
Discussion Part 2 of the question
Provide the following information about the business you founded in Week 1 in two to three paragraphs.
Discuss potential product liability issues and how your company might avoid these risks based on the type of product your company will sell. If your company just provides services, choose a product that your company will buy and use it to answer this question. Explain how the UCC applies to your transactions and how you plan to manage sales contracts and warranties. Explain why the UCC will not apply if your company delivers a service.
What is the difference between FOB Destination and FOB Shipment? Explain the benefits and drawbacks of each. Identify and explain the shipping term(s) you intend to use for your company.
RUBRIC |
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Excellent Quality 95-100%
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Introduction
45-41 points The background and significance of the problem and a clear statement of the research purpose is provided. The search history is mentioned. |
Literature Support 91-84 points The background and significance of the problem and a clear statement of the research purpose is provided. The search history is mentioned. |
Methodology 58-53 points Content is well-organized with headings for each slide and bulleted lists to group related material as needed. Use of font, color, graphics, effects, etc. to enhance readability and presentation content is excellent. Length requirements of 10 slides/pages or less is met. |
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Average Score 50-85% |
40-38 points More depth/detail for the background and significance is needed, or the research detail is not clear. No search history information is provided. |
83-76 points Review of relevant theoretical literature is evident, but there is little integration of studies into concepts related to problem. Review is partially focused and organized. Supporting and opposing research are included. Summary of information presented is included. Conclusion may not contain a biblical integration. |
52-49 points Content is somewhat organized, but no structure is apparent. The use of font, color, graphics, effects, etc. is occasionally detracting to the presentation content. Length requirements may not be met. |
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Poor Quality 0-45% |
37-1 points The background and/or significance are missing. No search history information is provided. |
75-1 points Review of relevant theoretical literature is evident, but there is no integration of studies into concepts related to problem. Review is partially focused and organized. Supporting and opposing research are not included in the summary of information presented. Conclusion does not contain a biblical integration. |
48-1 points There is no clear or logical organizational structure. No logical sequence is apparent. The use of font, color, graphics, effects etc. is often detracting to the presentation content. Length requirements may not be met |
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Homework for BUS3055 Operations Management