Question 1

A contract is considered to be unequivocal even when a term is susceptible to more than one interpretation.

Accepted Answer

A) True 
 B)False

Question 2

Fay offers to pay Grey $50 for a tennis lesson for Hetty. They agree to meet the day after tomorrow to exchange the cash for the lesson. These parties have

Accepted Answer

A)  a bilateral contract.
B)  a third-party contract.
C)  a unilateral contract.
D)  no contract.E) A) and D)
F) B) and C)

Question 3

Flo tells Ginger during a phone call that she will buy her textbook from last semester for $65. Ginger agrees. These parties have

Accepted Answer

A)  no contract.
B)  an express contract.
C)  an implied contract.
D)  a quasi contract.E) A) and B)
F) None of the above

Question 4

A check is an informal contract.

Accepted Answer

A) True 
 B)False

Question 5

An executed contract is one that has been fully performed by both parties to it.

Accepted Answer

A) True 
 B)False

Question 6

A promisee has the right to expect or demand that something will or will not happen in the future.

Accepted Answer

A) True 
 B)False

Question 7

Bo signs a lease with Capri Properties to lease a studio apartment for the next year for $850 per month. Daisy signs on Capri's behalf. Bo and Capri have

Accepted Answer

A)  no contract.
B)  an express contract.
C)  an implied contract.
D)  a simple contract.E) C) and D)
F) A) and B)

Question 8

By supplying procedures for enforcing private agreements, contract law provides an essential condition for the existence of a market economy.

Accepted Answer

A) True 
 B)False

Question 9

Contracts relating to real estate are governed by the common law.

Accepted Answer

A) True 
 B)False

Question 10

Laz is a friend of Maya, the owner of Nuevo Dias, a coffee kiosk. Every day, Laz spends five minutes at the kiosk, looking at the goods and usually buying one or two cinnamon buns or bagels. One morning, Laz looks at the items, and picks up a one-dollar donut. He waves the donut at Maya without saying a word and walks on. Is there a contract? If so, how would it be classified in terms of formation, performance, and enforceability?

Accepted Answer

The facts presented here indicate the pr...

Question 11

Odette, a certified public accountant, agrees to perform an audit for Personnel Inc. These parties are most likely to follow the rules of contract law in order to

Accepted Answer

A)  avoid potential disputes.
B)  acquire business acumen.
C)  obtain confidential information.
D)  satisfy a moral obligation.E) C) and D)
F) B) and D)

Question 12

Darcy enters into a contract with Event Center Inc. to use its venue for a business meeting. If an ambiguity appears in the contract that outside evidence does not make clear, it will most likely be

Accepted Answer

A)  interpreted against the party responsible for creating it.
B)  struck from the deal.
C)  construed according to the court's discretion.
D)  applied in favor of the party who drafted the contract.E) All of the above
F) A) and B)

Question 13

Cheri drives into Domestic Auto Service and asks to have a tire replaced on her car. Domestic replaces the tire. Before Cheri pays for it, any contract between them is

Accepted Answer

A)  executed.
B)  executory.
C)  void.
D)  unenforceable.E) C) and D)
F) B) and D)

Question 14

The terms of service that a person agrees to before loading an app on a phone are not truly legally binding.

Accepted Answer

A) True 
 B)False

Question 15

A contract that only one of the parties can enforce in a court is not valid.

Accepted Answer

A) True 
 B)False

Question 16

Sui enters into a contract with Trey to act as a personal sports trainer. If a dispute later arises over the parties' promises, the court will interpret the contract according to

Accepted Answer

A)  the parties' intent at the time they entered into the contract.
B)  what the promisor claims was the parties' intent.
C)  what the promisee claims was the parties' intent.
D)  what the parties now agree they intended.E) All of the above
F) A) and B)

Question 17

On behalf of the jazz group Fusion, their manager Gabe agrees to a performance in Hilltop Amphitheatre on July 4. Gabe and Hilltop sign a written copy of the agreement. These parties have

Accepted Answer

A)  an express contract.
B)  an implied contract.
C)  a quasi contract.
D)  no contract.E) A) and B)
F) A) and C)

Question 18

A letter-of-credit agreement between Rural Grain Corporation and Soy Farm Inc. requires Rural's bank to pay Soy on receipt of invoices. This is

Accepted Answer

A)  a formal contract.
B)  an informal contract.
C)  an implied contract.
D)  a quasi contract.E) A) and B)
F) A) and C)

Question 19

Marketing Inc. offers to create a campaign to increase N'Ice Cream Inc.'s online business. N'Ice agrees to pay for the service. These parties have

Accepted Answer

A)  no contract.
B)  an express contract.
C)  an implied contract.
D)  a quasi contract.E) All of the above
F) B) and D)

Question 20

Pavers Inc. contracts with a QuikStop store to repave the store's parking lot for a certain price. To be enforceable, this contract must include an element of

Accepted Answer

A)  consideration.
B)  acceptability.
C)  achievability.
D)  practicality.E) B) and C)
F) C) and D)

Exam 11: Nature and Terminology

Cheri drives into Domestic Auto Service and asks to have a tire replaced on her car. Domestic replaces the tire. Before Cheri pays for it, any contract between them is

Correct Answer
verified

Odette, a certified public accountant, agrees to perform an audit for Personnel Inc. These parties are most likely to follow the rules of contract law in order to

Correct Answer
verified

A promisee has the right to expect or demand that something will or will not happen in the future.

Correct Answer
verified

An executed contract is one that has been fully performed by both parties to it.

Correct Answer
verified

Correct Answer
verified
The facts presented here indicate the pr...
View Answer

The terms of service that a person agrees to before loading an app on a phone are not truly legally binding.

Correct Answer
verified

Bo signs a lease with Capri Properties to lease a studio apartment for the next year for $850 per month. Daisy signs on Capri's behalf. Bo and Capri have

Correct Answer
verified

A check is an informal contract.

Correct Answer
verified

Sui enters into a contract with Trey to act as a personal sports trainer. If a dispute later arises over the parties' promises, the court will interpret the contract according to

Correct Answer
verified

Darcy enters into a contract with Event Center Inc. to use its venue for a business meeting. If an ambiguity appears in the contract that outside evidence does not make clear, it will most likely be

Correct Answer
verified

Fay offers to pay Grey $50 for a tennis lesson for Hetty. They agree to meet the day after tomorrow to exchange the cash for the lesson. These parties have

Correct Answer
verified

A letter-of-credit agreement between Rural Grain Corporation and Soy Farm Inc. requires Rural's bank to pay Soy on receipt of invoices. This is

Correct Answer
verified

A contract that only one of the parties can enforce in a court is not valid.

Correct Answer
verified

By supplying procedures for enforcing private agreements, contract law provides an essential condition for the existence of a market economy.

Correct Answer
verified

Contracts relating to real estate are governed by the common law.

Correct Answer
verified

Pavers Inc. contracts with a QuikStop store to repave the store's parking lot for a certain price. To be enforceable, this contract must include an element of

Correct Answer
verified

On behalf of the jazz group Fusion, their manager Gabe agrees to a performance in Hilltop Amphitheatre on July 4. Gabe and Hilltop sign a written copy of the agreement. These parties have

Correct Answer
verified

Marketing Inc. offers to create a campaign to increase N'Ice Cream Inc.'s online business. N'Ice agrees to pay for the service. These parties have

Correct Answer
verified

Flo tells Ginger during a phone call that she will buy her textbook from last semester for $65. Ginger agrees. These parties have

Correct Answer
verified

A contract is considered to be unequivocal even when a term is susceptible to more than one interpretation.

Correct Answer
verified

Exam 11: Nature and Terminology

Cheri drives into Domestic Auto Service and asks to have a tire replaced on her car. Domestic replaces the tire. Before Cheri pays for it, any contract between them is

Correct AnswerverifiedShow Answer

Odette, a certified public accountant, agrees to perform an audit for Personnel Inc. These parties are most likely to follow the rules of contract law in order to

Correct AnswerverifiedShow Answer

A promisee has the right to expect or demand that something will or will not happen in the future.

Correct AnswerverifiedShow Answer

An executed contract is one that has been fully performed by both parties to it.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedThe facts presented here indicate the pr...View AnswerShow Answer

The terms of service that a person agrees to before loading an app on a phone are not truly legally binding.

Correct AnswerverifiedShow Answer

Bo signs a lease with Capri Properties to lease a studio apartment for the next year for $850 per month. Daisy signs on Capri's behalf. Bo and Capri have

Correct AnswerverifiedShow Answer

A check is an informal contract.

Correct AnswerverifiedShow Answer

Sui enters into a contract with Trey to act as a personal sports trainer. If a dispute later arises over the parties' promises, the court will interpret the contract according to

Correct AnswerverifiedShow Answer

Darcy enters into a contract with Event Center Inc. to use its venue for a business meeting. If an ambiguity appears in the contract that outside evidence does not make clear, it will most likely be

Correct AnswerverifiedShow Answer

Fay offers to pay Grey $50 for a tennis lesson for Hetty. They agree to meet the day after tomorrow to exchange the cash for the lesson. These parties have

Correct AnswerverifiedShow Answer

A letter-of-credit agreement between Rural Grain Corporation and Soy Farm Inc. requires Rural's bank to pay Soy on receipt of invoices. This is

Correct AnswerverifiedShow Answer

A contract that only one of the parties can enforce in a court is not valid.

Correct AnswerverifiedShow Answer

By supplying procedures for enforcing private agreements, contract law provides an essential condition for the existence of a market economy.

Correct AnswerverifiedShow Answer

Contracts relating to real estate are governed by the common law.

Correct AnswerverifiedShow Answer

Pavers Inc. contracts with a QuikStop store to repave the store's parking lot for a certain price. To be enforceable, this contract must include an element of

Correct AnswerverifiedShow Answer

On behalf of the jazz group Fusion, their manager Gabe agrees to a performance in Hilltop Amphitheatre on July 4. Gabe and Hilltop sign a written copy of the agreement. These parties have

Correct AnswerverifiedShow Answer

Marketing Inc. offers to create a campaign to increase N'Ice Cream Inc.'s online business. N'Ice agrees to pay for the service. These parties have

Correct AnswerverifiedShow Answer

Flo tells Ginger during a phone call that she will buy her textbook from last semester for $65. Ginger agrees. These parties have

Correct AnswerverifiedShow Answer

A contract is considered to be unequivocal even when a term is susceptible to more than one interpretation.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
The facts presented here indicate the pr...
View Answer

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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