BUSAD 120 - Business Law » Summer 2022 » Chapter 12 Study Guide Quiz
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Question #1
Barrett files a suit against City Moving Service for breach of contract, based on what Barrett claims was City Moving’s offer. For a court to determine if a contract has been breached, under the common law, the offer must include terms that are
A.
reasonably definite.
B.
unequivocally approximate.
C.
exactly precise.
D.
vague or uncertain.
Question #2
Casey offers to sell a certain used forklift to DIY Lumber Outlet, but Casey dies before DIY accepts. Most likely, Casey’s death
A.
extended the time of the offer.
B.
terminated the offer.
C.
shortened the time of the offer but did not terminate it.
D.
did not affect the offer.
Question #3
Crafted Metal Works, Inc., offers to design, make, and sell Downtown Transit Agency fourteen streetcars. Crafted Metal authorizes a particular mode of communication, but Downtown Transit sends an acceptance via a substituted means. This acceptance is effective when it is
A.
received.
B.
in transit.
C.
written.
D.
sent.
Question #4
Deb buys a song through eSongs, an online music vendor. Before completing the purchase and downloading the song, Deb must review a provision stating that she will not make and sell copies of the song and is required to click “I agree.” This provision is
A.
none of the choices.
B.
a shrink-wrap agreement.
C.
a click-on agreement.
D.
a browse-wrap term.
Question #5
Diverse Diversions, Inc., makes computer, video, and mobile device games. Ember buys a hard copy of Final Infinity. Inside the package is a shrink-wrap agreement. With respect to the contract for the game’s purchase, the shrink-wrap agreement may not be enforced if
A.
Ember learns of it after contracting.
B.
Ember does not read it.
C.
Ember learns of it before contracting.
D.
the play of the game is poor.
Question #6
Lewis offers to make digital copies of Motivational Sales Company’s business conference videotapes, CDs, DVDs, and other media for $500. Under the mailbox rule and the UETA, Motivational Sales’ acceptance by e-mail will be considered effective when
A.
received.
B.
composed on a Motivational Sales computer.
C.
followed up by a confirmation letter sent by regular mail.
D.
sent.
Question #7
Liz offers to sell Max her iPad for $200. Max says, “Okay, but only if you include the case and other accessories.” Max has
A.
rejected the offer without making a counteroffer.
B.
accepted the offer.
C.
made a counteroffer without rejecting the offer.
D.
rejected the offer and made a counteroffer.
Question #8
Lon says to Milli, “I would like to sell you my comic book collec¬tion.” This is not an offer because it
A.
only invites Milli to negotiate.
B.
does not include a price term.
C.
only expresses an opinion.
D.
does not describe the subject matter specifically.
Question #9
Medical Billing Collection Corporation and Naturopath Clinic make a deal for Medical Billing’s services via e-records. Under the UETA, an e-record is considered received when
A.
the recipient is aware that it has been sent.
B.
it enters the recipient’s processing system in a readable form.
C.
leaves the sender's control.
D.
the recipient is aware of its receipt.
Question #10
Octavio receives from Pastry Dough, Inc., its catalogue and a “personalized” letter inviting Octavio to buy any item at the advertised price. This is
A.
not an offer.
B.
an offer because there is no room for price negotiation.
C.
an offer only if Octavio previously bought items from Pastry Dough.
D.
an offer because of the “personalized” letter.
Question #11
On behalf of Bobble Head Manufacturing Company, Carmela types her name at the bottom of an e-mail purchase order and submits the order to Designer Parts Company. Under the UETA, Carmela’s typed name qualifies as
A.
a partnering agreement.
B.
a statement of future intent.
C.
a preliminary negotiation.
D.
a “signature.”
Question #12
Quay Trucking Service tells Rafe that it will pay him $50 if he unloads a certain truck at the Shipping Warehouse. Rafe’s acceptance is complete
A.
as soon as Rafe says he will unload the truck.
B.
when Rafe hears Quay’s offer.
C.
once Rafe starts to unload the truck.
D.
only after Rafe unloads the truck.
Question #13
Shasta offers to sell a used hay baler to Roberto, but receives a letter of accep¬tance from Quito, who has no relation to Roberto. A valid contract exists between
A.
Shasta and Quito.
B.
none of the choices.
C.
Roberto and Quito.
D.
Shasta and Roberto.
Question #14
Signe offers to sell Thomas her textbook but conditions the sale on Thomas accepting the offer by March 1. Signe may revoke the offer
A.
before March 1, whether or not Thomas has accepted the offer.
B.
only after March 1.
C.
before Thomas accepts the offer.
D.
only after Thomas accepts the offer.
Question #15
A price list is a form of invitation to negotiate or trade.
A.
False
B.
True
Question #16
A request or invitation to negotiate is an offer.
A.
False
B.
True
Question #17
A statute or court decision that makes an offer illegal automatically terminates the offer.
A.
False
B.
True
Question #18
An acceptance can impose new conditions or change the terms of the original offer without rejecting it.
A.
False
B.
True
Question #19
An advertisement is generally considered an offer.
A.
False
B.
True
Question #20
An important rule to keep in mind is that the offeree (the buyer) controls the acceptance and thus the resulting contract.
A.
True
B.
False
Question #21
Browse-wrap terms are often unenforceable.
A.
True
B.
False
Question #22
Generally, a contract must express its terms—no reasonable inferences are permissible.
A.
True
B.
False
Question #23
If an offer does not specify a time for acceptance, the offer terminates at the end of a reasonable time.
A.
True
B.
False
Question #24
In an auction, a bidder is an offeree.
A.
False
B.
True
Question #25
No offer can be accepted by silence.
A.
False
B.
True
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