Chapter 10 Practice Questions
Ms. White lost her puppy. She advertises a reward of $50 for its return. What is the contractual nature of the ad? A) An offer for a unilateral contract B) An invitation for a gift C) an invitation for an offer D) an acceptance of a bilateral promise
An offer for a unilateral contract
True or false: generally speaking, advertisements for the sale of goods at specified prices are considered to be offers.
false
True or false: offers that fail to provide a specific time for acceptance are invalid because they are deemed to be in definite.
false
True or false: to meet the requirements to form a contract, the parties must have future intent to agree and form a contract.
false
The ____ has the power to bind the person who makes an offer simply by excepting the offer. A) leasor B) leasee C) offeree D) offeror
offeree
When can the offeror affectively revoke his/her offer? A) Only after an effective acceptance B) only before the parties have completed their obligations under contract C) only before payment of for goods or services has been made D) only before an effective acceptance
only before an effective acceptance
Ashley says to Ford, "I'd like to buy your house," and Ford responds, "You've got a deal." This exchange lacks ___. A) partners B) object C) communication D) specificity
specificity
True or false: an advertisement offering a reward for return of lost property is usually treated as an offer for a unilateral contract.
true
True or false: the three requirements for a valid offer are; present intent to contract, definiteness, and communication to the offeree
true
When an ad for an auction ____, The seller is treated as having made an offer to sell the goods to the highest better. A) Without intent B) without reserve C) without price D) without offer
without reserve