Question 1

A counteroffer is a rejection of the original offer.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following types of property would be goods under the Uniform Commercial Code?

Accepted Answer

A)  A promissory note. 
B)  A stock. 
C)  A patent. 
D)  A computer.

Question 3

What is not required to establish promissory estoppel?

Accepted Answer

A)  A promise made by the defendant. 
B)  A promise made by the plaintiff in response to the defendant's promise. 
C)  Reliance on the defendant's promise. 
D)  Enforcing the promise is the only way to avoid injustice.

Question 4

Mary goes into Honest Harry's Electronics and purchases a TV.Mary agrees to pay for the TV in 30 days on the store's "30 days same as cash" plan.This is an executory contract.

Accepted Answer

A) True 
 B)False

Question 5

Lucy and Rick sign a contract in which Lucy agrees to deliver 10 boxes of chocolates in exchange for Rick's promise to pay $5 per box.Lucy delivers the candy.Rick pays for the goods.This contract is fully executory.

Accepted Answer

A) True 
 B)False

Question 6

Jennifer has offered to sell her laptop computer for $750 to Jack.She tells Jack that the computer is only six months old but,in fact,it is three years old,and Jennifer wants to unload the lemon.Jack agrees to buy the computer based on Jennifer's representations.This contract is:

Accepted Answer

A)  a void agreement because of the fraud involved. 
B)  a voidable contract,one that Jack can void. 
C)  a voidable contract,one that Jennifer can void. 
D)  a void contract because of the UCC.

Question 7

One purpose of contract law is to make business matters more predictable.

Accepted Answer

A) True 
 B)False

Question 8

On January 16,Deb offers to sell her waterbed to Colleen for $600.Colleen accepts and agrees to pay Deb $600 on January 27.Which of the following is correct?

Accepted Answer

A)  Until January 16,the contract was executory. 
B)  On January 16,the contract was executed. 
C)  This contract is a unilateral contract. 
D)  There is no contract until January 27.

Question 9

Rameriz and Cox enter a contract obligating Cox to supply Rameriz with 2,000 bushels of corn by the end of September.Weather conditions are poor and Cox is unable to grow that much corn himself,but could obtain enough to make up the required difference at a financial loss.Discuss the general purpose of contracts and the result of seeking enforcement of this contract both in a court exercising judicial restraint and in a court practicing judicial activism.

Accepted Answer

The answer of Rameriz and Cox enter a contract obligating...

Question 10

Contracts for the sale of fabric,automobiles,computers,furniture,and paper clips would all be governed by Article 2 of the Uniform Commercial Code.

Accepted Answer

A) True 
 B)False

Question 11

Wally owns 200 acres of land.Wally offers to sell the land to Robert for $1,500 per acre.Robert replies that he does not need 200 acres of land but would like to buy 40 acres at $1,500 per acre.Wally agrees to sell but does not identify which 40 acres.Later,Wally refuses to sell any land to Robert.What is the result?

Accepted Answer

A)  Robert wins; this is an enforceable contract with complete and definite terms. 
B)  Robert wins; the UCC will decide which 40 acres are to be sold. 
C)  Wally wins; the original offer was not intended to be an offer but merely an invitation to negotiate. 
D)  Wally wins; this agreement is too indefinite since it does not identify which 40 acres are to be sold.

Question 12

The courts will find an implied contract when:

Accepted Answer

A)  justice demands it. 
B)  conduct of the parties indicates they intended an agreement. 
C)  there is promissory estoppel. 
D)  there is undue influence.

Question 13

If the offer does not specify a type of acceptance,the offeree must accept within three day and must do so in writing.

Accepted Answer

A) True 
 B)False

Question 14

Alex promises to pay $100 to anyone who finds his lost watch.Kate finds and returns the watch to Alex after hearing of the reward money.Alex and Kate have an enforceable unilateral contract.

Accepted Answer

A) True 
 B)False

Question 15

Patty is a poor college student struggling to work and keep up with her studies.Fred,her uncle,promises to pay Patty support of $200 per month for the next six months.Although Fred didn't ask her to,she quits her current job in order to devote full time to her studies for the next six months.Fred makes one payment and then stops with no explanation.If Patty sues,what is the likely result?

Accepted Answer

A)  Fred would win,as he did not ask Patty to quit her job. 
B)  Patty would win,as a contract was formed when Fred promised to pay her the support. 
C)  Fred would win,as family members cannot sue each other for breach of an oral promise. 
D)  Patty may win under the doctrine of promissory estoppel.

Question 16

Mike made the following offer to Mick: "I will pay you $500 if you agree to paint my house." Mick replied that he would.At this point,the contract is an:

Accepted Answer

A)  executed,bilateral,express contract. 
B)  executory,bilateral,implied-in-law contract. 
C)  executory,unilateral,express contract. 
D)  executory,bilateral,express contract.

Question 17

Discuss the requirements of promissory estoppel.

Accepted Answer

The answer of Discuss the requirements of promissory estoppel....

Question 18

Dick offers to sell Jane his 1955 Thunderbird convertible.Before Jane can accept the offer,lightning strikes the car and it is totally destroyed.Which of the following is true?

Accepted Answer

A)  Jane can still accept the offer and John must find a 1955 Thunderbird to sell. 
B)  The offer is terminated by law. 
C)  Dick can still revoke his offer so long as he does so before Jane accepts. 
D)  Jane can still accept the offer.She will be entitled to the insurance proceeds.

Question 19

On Monday,Harry puts an offer in the mail to Sally to sell his guitar for $50.Monday night when jamming with his buddies,he decides he will really miss his old guitar and has second thoughts about selling it.Tuesday morning he puts a revocation in the mail informing Sally he has changed his mind and the guitar is no longer for sale.The revocation is effective on Tuesday morning.

Accepted Answer

A) True 
 B)False

Question 20

Robert offers to buy a car from Jane for $400.Jane must accept this offer in order to form an enforceable contract.

Accepted Answer

A) True 
 B)False

Exam 9: Introduction to Contracts

A counteroffer is a rejection of the original offer.

Which of the following types of property would be goods under the Uniform Commercial Code?

What is not required to establish promissory estoppel?

Mary goes into Honest Harry's Electronics and purchases a TV.Mary agrees to pay for the TV in 30 days on the store's "30 days same as cash" plan.This is an executory contract.

Lucy and Rick sign a contract in which Lucy agrees to deliver 10 boxes of chocolates in exchange for Rick's promise to pay $5 per box.Lucy delivers the candy.Rick pays for the goods.This contract is fully executory.

Jennifer has offered to sell her laptop computer for $750 to Jack.She tells Jack that the computer is only six months old but,in fact,it is three years old,and Jennifer wants to unload the lemon.Jack agrees to buy the computer based on Jennifer's representations.This contract is:

One purpose of contract law is to make business matters more predictable.

On January 16,Deb offers to sell her waterbed to Colleen for $600.Colleen accepts and agrees to pay Deb $600 on January 27.Which of the following is correct?

Contracts for the sale of fabric,automobiles,computers,furniture,and paper clips would all be governed by Article 2 of the Uniform Commercial Code.

The courts will find an implied contract when:

If the offer does not specify a type of acceptance,the offeree must accept within three day and must do so in writing.

Alex promises to pay $100 to anyone who finds his lost watch.Kate finds and returns the watch to Alex after hearing of the reward money.Alex and Kate have an enforceable unilateral contract.

Mike made the following offer to Mick: "I will pay you $500 if you agree to paint my house." Mick replied that he would.At this point,the contract is an:

Discuss the requirements of promissory estoppel.

Dick offers to sell Jane his 1955 Thunderbird convertible.Before Jane can accept the offer,lightning strikes the car and it is totally destroyed.Which of the following is true?

Robert offers to buy a car from Jane for $400.Jane must accept this offer in order to form an enforceable contract.