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Koala Balls Australia Pty Limited (“Koala”) is a manufacturer and wholesaler of high-quality sporting balls. Koala manufactures and retails balls for the sports of cricket, soccer, netball and all football codes. Koala’s balls are made from the highest quality fabric and where necessary hand stitched in the factory in Moss Vale NSW.

Koala is seeking to expand into the Asia Pacific region, it placed an advertisement on its website stating the following:

GREAT OFFER- 10% OFF ALL SPORTS BALLS- SHORT TIME ONLY!

Contact our friendly sales staff to discuss.

Ready to consider all offers!

The Minister for Sport in Vietnam (“The Minister”) saw the advertisement and decided that the Department of Sport in Vietnam would buy a bulk shipment of sports balls and distribute them through Vietnam, with the two-fold aim of increasing participation in sport and to improve the medal count at the Paris Olympic Games in 2024. The Minister has the authority to enter into contacts on behalf of the Department of Sport.

The Minister sent an email to the sales department of Koala asking for pricing and shipment dates.

Karen from sales sent the following email in response:

Netballs- All Australian made- $5.50:

Soccer balls: All Australian made and hand stitched- $22.00;

Cricket balls: Red, white and pink available- All Australian made and hand stitched- $13.00; and

Footballs- various codes available- All Australian made and hand stitched- $25.00.

The above prices are discounted by 10%, offer open for one week only.

On receipt of the email the Minister sent an email in response:

Will purchase at the quoted price 1000 Netballs, Soccer, red and white cricket balls and 2000 footballs for rugby and 500 for Australian Rules Football.

Ship to Department of Sport Offices Vietnam, Incoterm DDP (2020), next available ship.

Karen responded by email as follows:

Price agreed. Incoterm FOB. Payment by documentary letter of credit.

The Minister responded;

Agreed, advise ship and arrival date.

The balls were packed into a container and loaded on the Ship the S.S. Golden Goose on 6 August 2021. Karen emailed this information to the Minister.

Prior to leaving the Port of Wollongong the Master of the S.S. Golden Goose conducted due diligence on the vessel, however a number of the ships crew had contracted COVID-19 and were unable to sale, the Master decided to sale to Vietnam shorthanded, he left port on the 7 August 2021.

On 9 August 2021 off the coast of the Island of Peace (” Island”), the S.S. Golden Goose was boarded by the well know pirate Captain Sparrow. The container containing the balls was opened by Captain Sparrow’s men and the balls were removed from the S.S Golden Goose. Captain Sparrow distributed the balls to the school age children on the Island.

When the S.S Golden Goose docked in the Port of Vietnam the Minister was informed the cargo had been stolen during the voyage by pirates.

Due to work pressures the Minister had forgotten to insure the cargo.

QUESTION:Is there a contract between The Department of Sport in Vietnam and Koala Balls Pty Limited in Australia and if so, what are the terms of that contact? Has there been a fundamental breach of contact by Koala due to the failure to deliver the balls to the Department of Sport in Vietnam? Which party had the legal responsibility to insure the cargo.

 
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Sales of quill covers at Bud Banis’s discount department store in Carbondale over the past year are shown below. Management prepared a forecast using a combination of exponential smoothing and its collective judgment for the 4 months (March April May, and June) Sep Oct Nov Dec Jan Mar Jul 100 Apr Feb 83 95 92 98 114 May 88 112 Jun 110 108 125 Month Aug Unit Sales 96 108 126 120 102 Management’s Forecast ) MAD for the forecast developed by the management’s technique – 1625 cales (round your response to two decmai placea). MAPE for the foretast developed by the management’s technique • 17.00% fround your response to two decina placon) b) Using the Nove Method, the forecast for period March through Juno is round your response to two decimal poow Month Aug Unit Sales Nalve Forecast Feb Ju 100 Sep 96 Od 108 Nov 126 Dec 120 Jan 92 Mar 102 Ar 98 May 88 Jun 110 05 B3
 
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