Corporate finance

Padmapalasaki and Chandrakantha purchase an Indian restaurant from Priya. It is located in Glen Waverly, south-east of Melbourne. In order to ensure she does not establish a similar restaurant in the same vicinity, they include a term in the contract that prohibits Priya “owning or managing” a restaurant within a 20-km radius of the restaurant for five years.

Advise them whether this term would be an illegal restraint

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An exchange rate of €1 = $1.80 indicates that:

A. $1 is worth 1.80 euros.

B. one could sell 1.80 euros for $1.

D. there are 1.80 euros for every dollar.


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