Sara Sou Is "Bearish" and Is of the Opinion That

Multiple Choice

Sara Sou is "bearish" and is of the opinion that the price of Muggle Company stock will drop within a few weeks; Stefan Gordon is "bullish" and thinks the price will go up. Sara sells her 1,000 shares of Muggle Co. stock to Stefan for $100 a share. If, within a few weeks, the price of a share of Muggle Co. stock​

A) does not change, both Sara and Stefan can legally rescind because of their mutual mistake as to the value of the stock.
B) drops sharply to $1, Stefan alone can rescind because of Sara's fraud.
C) rises sharply to $200 a share, Stefan can rescind because of his unilateral mistake
D) None of the above is correct. Different expectations of the future value of a good (e.g., the Muggle Co. stock) do not affect the validity of a contract for its sale.