• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for March and June 2025 exams.
Get your discount code >>

Obligations

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Obligations

  • This topic has 11 replies, 2 voices, and was last updated 2 years ago by MikeLittle.
Viewing 12 posts - 1 through 12 (of 12 total)
  • Author
    Posts
  • February 22, 2023 at 9:40 am #679383
    krrish2005
    Participant
    • Topics: 138
    • Replies: 229
    • ☆☆☆

    Gary and helga have a contract for gary to collect goods from helga’s business premise in almanistan.since the contract was formed helga has moved her operations ti boumania.it is still possible but more difficult for gary to collect the goods.as he will have to set up special bank arrangements to pay helga in the new country it will cost him 20 more to pay the contract.
    As a result:
    1 Helga must deliver goods to her previous premise in almanistan.
    2 Gary must collect the goods from boumania.
    Which of the following is correct?
    1 or 2

    February 22, 2023 at 3:23 pm #679403
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23303
    • ☆☆☆☆☆

    There must be more options – if I were Gary i would ask for a re-negotiated contract.

    There’s no way that she could oblige Gary to collect them from the new location. but she could cancel the contract and pay some sort of compensation to Gary.

    What I’m saying there is that she has more options available to her beyond an obligation (must deliver goods) to return the goods to their original contracted location

    OK

    February 22, 2023 at 4:08 pm #679406
    krrish2005
    Participant
    • Topics: 138
    • Replies: 229
    • ☆☆☆

    Sir here answer is that she must collect goods from new location

    February 22, 2023 at 7:26 pm #679417
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23303
    • ☆☆☆☆☆

    Who is ‘she’ in your last post?

    February 23, 2023 at 3:09 am #679428
    krrish2005
    Participant
    • Topics: 138
    • Replies: 229
    • ☆☆☆

    Gary
    He*

    February 23, 2023 at 7:21 am #679441
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23303
    • ☆☆☆☆☆

    But that’s ridiculous! What if Helga had moved to the other side of the World? Would Gary, in that situation, also be required to collect the goods from the new location?

    One thing that I’m not sure about – is Helga a seller and Gary a buyer?

    Or is Helga a seller and Gary a courier, transporting Helga’s goods to a Helga customer?

    If it’s the first situation, then, ok, I can see the logic of Gary having to travel to the new location. After all, he’s the one that has agreed to collect goods from Helga’s premises. That’s vague enough for the premises to be moved.

    If the conversation went as:

    H “Yes, you can have the goods, but you’ll need to come to collect them yourself. We’re at *an address* in Almanistan”

    G “OK, I’ll come to collect them next month”.

    But meanwhile Helga changes her address and lets Gary know.

    Then I can understand that Gary, who wants the goods, will need to travel to the new address.

    Is it possible, I wonder, for Gary to cancel the contract? I think that that would be my reaction. It depends on whether the ‘cost him 20 more to pay the contract.’ is €20 or £20(thousand pounds)

    I get the feeling, again, that you have not given me all information or, at least, not with the precise wording from the question?

    OK?

    February 23, 2023 at 7:46 am #679447
    krrish2005
    Participant
    • Topics: 138
    • Replies: 229
    • ☆☆☆

    Sir i have given the full question
    My doubt is they have agreed in the contract that gary, the buyer, will collect goods from almanistan premise of buyer helga
    Then how can she be bound to collect goods from new premise

    February 23, 2023 at 1:40 pm #679497
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23303
    • ☆☆☆☆☆

    Multiple questions here Krrish!

    “My doubt is they have agreed in the contract that gary, the buyer, will collect goods from almanistan premise of buyer helga
    Then how can she be bound to collect goods from new premise”

    WHO is the buyer? ‘gary, the buyer’ or ‘premise of buyer helga’?

    And then (again!) ‘WHO is SHE’? ‘Then how can she be bound to collect goods’

    Krrish! I’m sorry but you appear to be making up these questions as you go along!!!!!

    PLEASE, check again and give me the FULL question as it is actually printed because your various versions are not making any sense to me 🙁

    February 23, 2023 at 2:39 pm #679504
    krrish2005
    Participant
    • Topics: 138
    • Replies: 229
    • ☆☆☆

    Sir again here is the full question
    Gary and Helga have a contract for Gary to collect goods from Helga’s business premise in Almanistan. Since the contract was formed,Helga has moved her operation to Boumania.It is still possible, but more difficult, for Gary to collect the goods.As he will have to set up special bank arrangements to pay Helga in the new country, it will cost him $20 more to pay the contract price of $ 59487.
    Which of the following statements is correct?
    1 Helga must deliver the goods to her previous premise in Almanistan
    2 Gary must collect goods from Boumania.

    February 23, 2023 at 3:04 pm #679507
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23303
    • ☆☆☆☆☆

    Then it’s a poor question! Full stop!

    I can’t make out if Gary is a courier / carrier or customer

    Whatever he is, the additional cost of $20 is so immaterial that I would accept that the addition in cost created by the variation in the contract collection location is SO immaterial that Gary will have to suck it up and go ahead.

    Now, serious point! PLEASE, IN FUTURE QUESTIONS, GIVE ME THE FULL QUESTION AND NOT SIMPLY AN EXTRACT!

    Had you mentioned $20 and $59,487 in your original post, we could both have saved so much time in answering an insignificant question. $20 is less than 0.0336%. What is Gary balking at, for Heaven’s sake???!!!

    Remember Krrish – GIVE ME THE FULL QUESTION AND THE COMPLETE RANGE OF ANSWERS

    OK?

    February 23, 2023 at 3:49 pm #679508
    krrish2005
    Participant
    • Topics: 138
    • Replies: 229
    • ☆☆☆

    Sir if gary was a buyer
    And helga a seller
    Then based on the contract, that goods must be collected by the BUYER (GARY) from the business premise of Seller(Helga) from ALMANISTAN
    What will be done if helga changes the premise to boumania
    as per contract shouldn’t goods must be available at ALMANISTAN
    The answer here is that
    Gary needs to collect goods from new business premise boumania

    February 23, 2023 at 6:05 pm #679514
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23303
    • ☆☆☆☆☆

    If Helga’s change of location had resulted in an increase in Gary’s costs by $XXXX where $XXXX is a substantial sum and certainly greater than .0.0336% of the contract value, then maybe the answer would be different.

    But Krrish, if Gary complains about the extra $20, do you not think that Helga would say “OK, Gary, I’ll know $20 off the contract price!”

    I still think that the question is unfairly vague but I also think that the variation in the contract terms is so minimal that Gary will need to collect the goods from Boumania.

    Move on!

  • Author
    Posts
Viewing 12 posts - 1 through 12 (of 12 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • effy.sithole@gmail.com on IASB Conceptual Framework – Introduction – ACCA Financial Reporting (FR)
  • kyubatuu on MA Chapter 6 Questions Inventory Control
  • hhys on PM Chapter 14 Questions More variance analysis
  • azubair on Time Series Analysis – ACCA Management Accounting (MA)
  • bizuayehuy on Interest rate risk management (1) Part 1 – ACCA (AFM) lectures

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in