Question 1

An offer may not be revoked before it is accepted.

Accepted Answer

A) True 
 B)False

Question 2

A contract is valid only if both of the parties entering into it have the capacity to do so.

Accepted Answer

A) True 
 B)False

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) None of the above
F) B) and D)

Question 4

Cellphones & Calltime, Inc., makes an offer to Delores to enter into a contract to work as a salesperson for a certain base salary plus commission for ninety days subject to a one-year renewal based on her performance. Delores accepts the offer. A valid contract requires

Accepted Answer

A)   a price and a subject.
B)   a duration and termination provision.
C)   an offer and an acceptance.
D)   specific quality standards.E) A) and B)
F) A) and C)

Question 5

All contracts include an implied covenant of good faith and fair dealing.

Accepted Answer

A) True 
 B)False

Question 6

Francisca and Garden Estate, Inc., enter into a contract for the use of a Victorian mansion and its grounds for a wedding and reception. If ambiguities appear in the contract, they will be construed against the party that

Accepted Answer

A)   drafted the contract.
B)   has the greater bargaining power.
C)   made the offer to contract.
D)   offers the most confusing explanation of the terms.E) A) and C)
F) B) and D)

Question 7

Informal contracts are usually based on their sub-stance rather than their form.

Accepted Answer

A) True 
 B)False

Question 8

Francie drives into Gage's Auto Service and asks Hong, a Gage's employee, to replace a tire on Francie's car. After Hong replaces the tire, but before Francie pays for it, any contract between Francie and Gage's is

Accepted Answer

A)   executed.
B)   executory.
C)   void.
D)   unenforceable.E) None of the above
F) A) and D)

Question 9

The term consideration refers to the legality of the subject matter of a contract.

Accepted Answer

A) True 
 B)False

Question 10

A quasi contract is a fictional contract.

Accepted Answer

A) True 
 B)False

Question 11

Robin claims that her contract with Stroud for tennis lessons is voidable. If their contract is avoided

Accepted Answer

A)   both parties are released from it.
B)   both parties must fully perform their obligations under it.
C)   a wholly different contract is agreed to.
D)   a wholly different contract is imposed "as if" the parties had agreed.E) B) and C)
F) A) and B)

Question 12

GR8 Marketing Company and Brainfreeze Tunes, Inc., sign a document that states GR8 agrees to create a marketing campaign for Brainfreeze, which agrees to pay GR8 for the service. GR8 and Brainfreeze have

Accepted Answer

A)   an executed contract.
B)   an express contract.
C)   an implied contract.
D)   a quasi contract.E) B) and C)
F) A) and D)

Exam 10: Nature and Classification

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

Robin claims that her contract with Stroud for tennis lessons is voidable. If their contract is avoided

Correct Answer
verified

Informal contracts are usually based on their sub-stance rather than their form.

Correct Answer
verified

A contract is valid only if both of the parties entering into it have the capacity to do so.

Correct Answer
verified

Francisca and Garden Estate, Inc., enter into a contract for the use of a Victorian mansion and its grounds for a wedding and reception. If ambiguities appear in the contract, they will be construed against the party that

Correct Answer
verified

An offer may not be revoked before it is accepted.

Correct Answer
verified

Cellphones & Calltime, Inc., makes an offer to Delores to enter into a contract to work as a salesperson for a certain base salary plus commission for ninety days subject to a one-year renewal based on her performance. Delores accepts the offer. A valid contract requires

Correct Answer
verified

Francie drives into Gage's Auto Service and asks Hong, a Gage's employee, to replace a tire on Francie's car. After Hong replaces the tire, but before Francie pays for it, any contract between Francie and Gage's is

Correct Answer
verified

The term consideration refers to the legality of the subject matter of a contract.

Correct Answer
verified

All contracts include an implied covenant of good faith and fair dealing.

Correct Answer
verified

A quasi contract is a fictional contract.

Correct Answer
verified

GR8 Marketing Company and Brainfreeze Tunes, Inc., sign a document that states GR8 agrees to create a marketing campaign for Brainfreeze, which agrees to pay GR8 for the service. GR8 and Brainfreeze have

Correct Answer
verified

Exam 10: Nature and Classification

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

Robin claims that her contract with Stroud for tennis lessons is voidable. If their contract is avoided

Correct AnswerverifiedShow Answer

Informal contracts are usually based on their sub-stance rather than their form.

Correct AnswerverifiedShow Answer

A contract is valid only if both of the parties entering into it have the capacity to do so.

Correct AnswerverifiedShow Answer

Francisca and Garden Estate, Inc., enter into a contract for the use of a Victorian mansion and its grounds for a wedding and reception. If ambiguities appear in the contract, they will be construed against the party that

Correct AnswerverifiedShow Answer

An offer may not be revoked before it is accepted.

Correct AnswerverifiedShow Answer

Cellphones & Calltime, Inc., makes an offer to Delores to enter into a contract to work as a salesperson for a certain base salary plus commission for ninety days subject to a one-year renewal based on her performance. Delores accepts the offer. A valid contract requires

Correct AnswerverifiedShow Answer

Francie drives into Gage's Auto Service and asks Hong, a Gage's employee, to replace a tire on Francie's car. After Hong replaces the tire, but before Francie pays for it, any contract between Francie and Gage's is

Correct AnswerverifiedShow Answer

The term consideration refers to the legality of the subject matter of a contract.

Correct AnswerverifiedShow Answer

All contracts include an implied covenant of good faith and fair dealing.

Correct AnswerverifiedShow Answer

A quasi contract is a fictional contract.

Correct AnswerverifiedShow Answer

GR8 Marketing Company and Brainfreeze Tunes, Inc., sign a document that states GR8 agrees to create a marketing campaign for Brainfreeze, which agrees to pay GR8 for the service. GR8 and Brainfreeze have

Correct AnswerverifiedShow Answer

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