Cengage Advantage Books: Essentials of Business Law 5th Edition by Jeffrey Beatty,Susan Samuelson

Exercise 8

Jerry is so mentally ill that he is unable to understand the nature and consequences of his transactions, but he has not been adjudicated insane. Penny has been adjudicated insane, and a court has appointed a guardian to handle her affairs. Jerry's contracts are
_____________, and Penny's contracts are ______________.
(a) valid; valid
(b) valid; voidable
(c) valid; void
(d) voidable; voidable
(e) voidable; void