Which of the following is not a required element of a contract.

• Mutual Assent

• Offer and Acceptance

• Consideration

• Cash Value Exchange

A contract between two parties for illegal activities is not valid.

• True

• False

A minor has the capacity to contract when...

• Always

• Only valid on contracts valuing over $1 Million

• For necessities like food, clothing, and lodging

• It depends on the state you live in

Which of the following is a contract?

• Betty offers to give a book to Lou. Lou accepts.

• Betty offers Lou the book in exchange for Lou’s promise to pay twenty-five dollars. Lou accepts.

• Betty offers to give Lou the book if Lou promises to pick it up at Betty’s house. Lou agrees.

• None of the above

Consideration is...

• a set of mutual promises in which each party agrees to give up something to the benefit of the other.

• The amount of time one has to accept an offer.

• The 5 minutes following an offer that must elapse before an acceptance can take place.

• The element of a contract that says the value of what each party is giving up must be equal.

Offering a reward to anyone who can return your lost pet is an example of a...

• Bilateral contract

• Unilateral Contract

In an auction session, when does the acceptance takes place?

• When bidders make bids

• When the auctioneer knocks his hammer confirming the highest bid

• when the bidder wins the bid

• When full payment of the item is payed

Goods displayed on shelves of a shop are considered as...

• An offer

• An acceptance

• An invitation to treat

• A consideration

When can an offer be revoked by the offeror?

• After an acceptance is made

• Before an acceptance is made

• After consideration moves between the parties

• Before consideration moves between the parties

The taking back of an offer by the offeror is called

• revocation
• rejection
• cancellation
• consideration