WorksheetsSECTION 4: LEGAL ASPECTS OF BUSINESS - CONTRACT
Total questions: 22
Worksheet time: 12mins
Which of the following is not a required element of a contract.
Mutual Assent
Offer and Acceptance
Consideration
Cash Value Exchange
Person's ability to satisfy the elements required for someone to enter binding contracts
Consideration
Mutual Assent
Capacity
Offer and Acceptance
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
Which of the following is the most common/ acceptable reason to discharge a contract.
Performance
Fraud
Breach
Agreement
Which of the following is a remedy to a breached contract?
Money Damages
Restitution
Specific Performance
All of the above
After talking to the salesman on the phone, Molley agree to buy a set of glassware. What type of contract is this?
Oral
Unenforceable
Valid
Written
Jim purchases a rare antique piece for $5,000. The contract was signed by both parties. in this scenario, who is Jim?
donee
donor
offeree
offeror
Robert offered a reward for anyone who returns his lost wallet. What type of contract is this?
Bilateral
implied
unilateral
void
Agreeing to give false testimony violates which element?
capacity
consideration
legality
offer
A threat against a person's business would violate which element?
capacity
consideration
genuine agreement
legality
What elements would NOT cause grounds for avoidance due to lack of genuine agreement?
Duress
Undue Influence
Misrepresentation
Promises
Mistakes
After being offered a new car at a discount, Macey decided to turn down the offer. How was this contract terminated?
referral
refusal
rejection
renovation
If the offeror mails an offer to the offeree, and the offeree faxes the acceptance, when will the offer go into affect?
When offered
When received
When sent
When written
Jenn asked Lucas if he wanted to buy her car for $5,000. Who is Jenn is this transaction?
donee
donor
offeree
offeror
Lucas' agreeing to accept Jenn's proposal to sell her car is which element of a contract?
acceptance
consideration
rejection
revocation
Jacob negotiates with Herman over the purchase of his car. How is this contract accepted?
novation
refusal
counteroffer
mirror image rule
A contract to charge a set price with competitors violates which element?
capacity
consideration
legality
offer
Kyree decides to sell her music collection for $550. Does this contract have to be in writing?
Yes
No
