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Contracts

Total questions: 10

Worksheet time: 5mins

Name
Class
Date
1.

A contract may be discharged by:

i. Breach

ii. lapse of time

             iii. Offer and acceptance

a)

I and II only

b)

I and III only

c)

II and III only

d)

I,II and III only

2.

An essential feature of a valid contract is that

a)

the offer has been made to the offeree

b)

the offer is made in writing by the offeror

c)

 a counteroffer has been made by the offeree to the offerer

d)

 the offer has been accepted by the offeree either in writing or orally

3.

      Mr John offered his car for sale for $70 000. Miss Maraj said that she would pay him $66 000 for it. Which of the following phrases BEST describes Miss Maraj's action?

a)

     Accepted the offer

b)

     Agreed to a contract

c)

       Made a counter offer

d)

     Made an invitation to treat

4.

Which of the following factors prevents an agreement from being considered a valid contract?

a)

      Consideration

b)

     Legal purpose

c)

       Misrepresentation

d)

    Offer and acceptance

5.

Melissa, a teenager, wanted to earn extra income, so she offered to wash cars for $10. Ms Hinds bought her car to be washed. Melissa washed her car and Ms Hinds paid her $15. What type of contract is demonstrated in the case above?

a)

Social

b)

Simple

c)

Business

d)

Specialty

6.

     Which of the following is NOT a legitimate way to terminate a contract?

a)

Breach

b)

Performance

c)

Lapse of time

d)

Change of mind

7.

In a recent conversation Ann asked Betty the price at which she would sell a book. Betty replied that she would sell it for $5. The conversation constituted

a)

a contract between the parties

b)

An offer from Betty to sell the book for $5 to Ann

c)

An enquiry and statement of the selling price of the book

d)

The sale of the book for $5

8.

   Which of the following contracts must be evidenced in writing?

a)

    Purchase of a bus ticket

b)

    Purchase of a radio

c)

     Purchase of a lot of land

d)

  Purchase of a car for cash

9.

   If Albert fraudulently represents himself to be John and induces Peter to make a contract with him, the contract is

a)

Void

b)

Voidable

c)

Ultra vires

d)

discharged

10.

Under which of the following conditions can the contract be terminated?

i. Both parties agree to do so

ii. One party loses his job

iii. The subject matter ceases to exist

iv. The subject matter is illegal

a)

I and II only

b)

I and III only

c)

II and III only

d)

III and IV only