Peter offers to sell Maxine his car for $5,000, stating, “I need to know by Friday, and you should email me your answer
1. If an offeree attempts to add different terms in an acceptance, which conflict with what the offeror stated (Points : 1)
the terms cancel each other out.
the offeror’s terms govern the contract.
the offeree’s terms govern the contract.
the offeree’s terms govern the contract unless the offeror objects.
Question 2.2. Peter offers to sell Maxine his car for $5,000, stating, “I need to know by Friday, and you should email me your answer.” Maxine calls Peter on Thursday and leaves a voicemail telling him she wants the car. Peter listens to the voicemail on Thursday night. Which statement best describes the situation? (Points : 1)
There is a contract since Peter got the message in time.
There is a contract regardless of when Peter gets the message.
Maxine has rejected Peter’s offer by using voicemail.
Maxine had made a counteroffer, which Peter can now choose to reject or accept.
Question 3.3. Consideration is: (Points : 1)
Part of a bargained -for exchange.
Either a benefit or detriment.
An element of a contract.
Two of the above
All of these
Question 4.4. After mowing his own lawn, David goes next door and mows his neighbor Lena’s lawn as a nice gesture. As he is finishing up, Lena arrives home. Happy to find a newly mown lawn, Lena says, “That’s so nice of you! When I get paid Friday, I’ll give you $20.” David says, “I accept!” Which best describes the situation? (Points : 1)
There is a contract, since David accepted the offer.
There is no contract, because Lena made a unilateral offer.
There is no contract, because Lena gave no consideration.
There is no contract, because David gave only past consideration.
Question 5.5. Daniel offers to sell his Toyota Camry to Jen for $8,000. Jen replies, “I accept. Make sure you wash and wax the car before you bring it over.” Which best describes the situation? (Points : 1)
There is a contract; Daniel must wash and wax the car.
There is a contract, but Daniel does not have to wash and wax the car.
There is no contract; Jen made a counteroffer.
There is no contract unless Jen is willing to take an unwashed car.
Question 6.6. Katrina is complaining to her landlord about the six-inch long cockroaches in her apartment. The landlord scoffs, saying: “Cockroaches don’t get that big! I’ll pay $10,000 to anyone who can show me a six-inch cockroach.” Will, a bug collector, overhears and promptly presents the landlord with his prize six-inch South American cockroach. The landlord refuses to pay, and Will sues. Which of the following best describes the situation? (Points : 1)
There is no contract because the landlord never intended to make an offer.
There is no contract; a reasonable person wouldn’t believe the landlord intended to pay.
There is no contract because Will did not have the power of acceptance.
There is definitely a contract.
Question 7.7. Under the UCC, a court is most likely to find a contract is unconscionable and should be voided if (Points : 1)
the terms are grossly unfair.
the parties do not have equal bargaining power.
the parties are both merchants.
Two of these
All of these
Question 8.8. Petra contracted to paint Bret’s house for $2,000. After beginning the job, Petra realizes that the house is really quite big, and she’s not going to make enough profit, so she tells Bret she wants another $500 to finish the job. Bret doesn’t want to pay more, but he’s afraid that if she walks off the job, he’ll have trouble finding someone else to finish it, so he agrees. Is Bret legally obligated to pay the extra $500? (Points : 1)
Yes, if Petra does finish the paint job.
Yes, this is a contract under the UCC.
No, Bret made an illusory promise.
No, Petra had a pre-existing duty to paint the house for $2,000.
Question 9.9. Jason promises to tutor Maria in Essentials of Business Law for three hours next week in exchange for $30. Maria promises to pay the $30. They have a/an: (Points : 1)
Question 10.10. Beta Inc. offers to buy 25 screwdrivers from Industrial Hardware for $75. Industrial responds, “We have the screwdrivers you wish to purchase, but the price is $80.” Beta replies, “No, we can find them cheaper somewhere else.” Industrial now responds, “We accept your offer of 25 screwdrivers for $75.” Do they have a contract? (Points : 1)
No, Industrial’s counteroffer terminated Beta’s offer.
No, Beta never made an offer since shipment terms were not included.
Yes, Beta made a firm offer.
Yes, Industrial was merely attempting to negotiate.