Question 1

Explain why the mirror image rule is said to be the exact antithesis of a counteroffer.

Accepted Answer

For an acceptance to exist,the offeree m

Question 2

Which of the following statements is true about a counteroffer?

Accepted Answer

A)  An offeree that makes the counteroffer is still considered the offeree. 
B)  A counteroffer terminates the existing offer. 
C)  A counteroffer can only be made by the offeror. 
D)  A counteroffer need not be communicated to the offeror. 
A)  An offeree that makes the counteroffer is still considered the offeree. 
B)  A counteroffer terminates the existing offer. 
C)  A counteroffer can only be made by the offeror. 
D)  A counteroffer need not be communicated to the offeror.

Question 3

Which of the following is true of legally claiming a reward?

Accepted Answer

A)  A promise of completing the requested act is sufficient for a claimant to claim the reward. 
B)  The offeree must perform the requested act to claim the reward. 
C)  The claimant can claim the reward even if he or she came to know of the reward subsequent to completing the act. 
D)  The offeror cannot withdraw the reward once the offer has been placed in the public domain. 
A)  A promise of completing the requested act is sufficient for a claimant to claim the reward. 
B)  The offeree must perform the requested act to claim the reward. 
C)  The claimant can claim the reward even if he or she came to know of the reward subsequent to completing the act. 
D)  The offeror cannot withdraw the reward once the offer has been placed in the public domain.

Question 4

Mandy decided to sell her iPad,and made an offer to her friend Shelly for $250.Shelly told Mandy she is willing to buy the iPad,but would be glad if Shelly could lower her asking price.Mandy lowered the price to $210 and Shelly bought it.Which of the following would describe Shelly's response to Mandy for her second offer?

Accepted Answer

A)  counteroffer 
B)  rejection 
C)  equivocal acceptance 
D)  grumbling acceptance 
A)  counteroffer 
B)  rejection 
C)  equivocal acceptance 
D)  grumbling acceptance

Question 5

Which of the following is a difference between acceptance and revocation?

Accepted Answer

A)  Revocation is valid only if the offeree receives it, while an offeree's acceptance is valid when dispatched. 
B)  Revocation can be done by the offeror or offeree, while an acceptance can only be done by the offeree. 
C)  An acceptance must be received by the offeror to be valid, while a revocation need not be received by the offeree. 
D)  A revocation can be made after acceptance, while an acceptance cannot be made after revocation. 
A)  Revocation is valid only if the offeree receives it, while an offeree's acceptance is valid when dispatched. 
B)  Revocation can be done by the offeror or offeree, while an acceptance can only be done by the offeree. 
C)  An acceptance must be received by the offeror to be valid, while a revocation need not be received by the offeree. 
D)  A revocation can be made after acceptance, while an acceptance cannot be made after revocation.

Question 6

________ is a stipulation in an offer that says the acceptance must be by a specified means of communication.

Accepted Answer

A)  Option contract 
B)  Mirror image rule 
C)  Implied authorization 
D)  Express authorization 
A)  Option contract 
B)  Mirror image rule 
C)  Implied authorization 
D)  Express authorization

Question 7

An auction with reserve is one in which the seller expressly gives up his or her right to withdraw the goods from sale and must accept the highest bid.

Accepted Answer

A) True 
 B)False

Question 8

If the offeror withdraws the offer any time prior to its acceptance by the offeree,it is termed a revocation.

Accepted Answer

A) True 
 B)False

Question 9

A promise lacks consideration if a person promises to perform an act or do something he is already under an obligation to do.This is called a(n)________.

Accepted Answer

A)  illegal consideration 
B)  preexisting duty 
C)  gift promise 
D)  illusory promise 
A)  illegal consideration 
B)  preexisting duty 
C)  gift promise 
D)  illusory promise

Question 10

A promise based on the past performance of the promisee lacks consideration.

Accepted Answer

A) True 
 B)False

Question 11

The doctrine of promissory estoppel estops (prevents)the promisor from revoking his or her promise based on lack of consideration.

Accepted Answer

A) True 
 B)False

Question 12

The rejection of an offer is effective when it is ________.

Accepted Answer

A)  dispatched by the offeree 
B)  dispatched by the offeror 
C)  received by the offeree 
D)  received by the offeror 
A)  dispatched by the offeree 
B)  dispatched by the offeror 
C)  received by the offeree 
D)  received by the offeror

Question 13

A contract which states that one of the parties has to perform only if he or she chooses to do so is enforceable.

Accepted Answer

A) True 
 B)False

Question 14

A counteroffer is effective when dispatched by the offeree.

Accepted Answer

A) True 
 B)False

Question 15

A completed gift promise cannot be rescinded for lack of consideration.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following contradicts the mirror image rule?

Accepted Answer

A)  silence as acceptance 
B)  option contract 
C)  counteroffer 
D)  acceptance-upon-dispatch 
A)  silence as acceptance 
B)  option contract 
C)  counteroffer 
D)  acceptance-upon-dispatch

Question 17

Describe the different effective dates of communication.

Accepted Answer

Offers are effective when received by th

Question 18

Which of the following can convert a gift promise into an enforceable promise?

Accepted Answer

A)  if the promisee offers a consideration 
B)  if the promisor offers a consideration 
C)  if the promisee receives a legal benefit 
D)  if the promisor suffers a legal detriment 
A)  if the promisee offers a consideration 
B)  if the promisor offers a consideration 
C)  if the promisee receives a legal benefit 
D)  if the promisor suffers a legal detriment

Question 19

Which of the following would be considered an offer to form a unilateral contract?

Accepted Answer

A)  advertisement 
B)  auction without reserve 
C)  reward offer 
D)  auction with reserve 
A)  advertisement 
B)  auction without reserve 
C)  reward offer 
D)  auction with reserve

Question 20

A promise to refrain from doing an illegal act can support a contract.

Accepted Answer

A) True 
 B)False

Exam 10: Agreement and Consideration

Explain why the mirror image rule is said to be the exact antithesis of a counteroffer.

Which of the following statements is true about a counteroffer?

Which of the following is true of legally claiming a reward?

Which of the following is a difference between acceptance and revocation?

________ is a stipulation in an offer that says the acceptance must be by a specified means of communication.

An auction with reserve is one in which the seller expressly gives up his or her right to withdraw the goods from sale and must accept the highest bid.

If the offeror withdraws the offer any time prior to its acceptance by the offeree,it is termed a revocation.

A promise lacks consideration if a person promises to perform an act or do something he is already under an obligation to do.This is called a(n)________.

A promise based on the past performance of the promisee lacks consideration.

The doctrine of promissory estoppel estops (prevents)the promisor from revoking his or her promise based on lack of consideration.

The rejection of an offer is effective when it is ________.

A contract which states that one of the parties has to perform only if he or she chooses to do so is enforceable.

A counteroffer is effective when dispatched by the offeree.

A completed gift promise cannot be rescinded for lack of consideration.

Which of the following contradicts the mirror image rule?

Describe the different effective dates of communication.

Which of the following can convert a gift promise into an enforceable promise?

Which of the following would be considered an offer to form a unilateral contract?

A promise to refrain from doing an illegal act can support a contract.

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