BUS 311 Week 2 Quiz

BUS 311 Week 2 Quiz  | Ashford University

Week 2 - Quiz

Question 1

Ashley sees a maintenance crew from Acme Co. beginning to resurface her driveway, a service she has not contracted for. Ashley thinks a new driveway would be good, so she doesn’t say anything.  If Acme sues Ashley for the value of the resurfacing,

·         Ashley wins; there is no quasi contract because she was not obligated to send Acme away.

·         Ashley wins; she did not have a contract with Acme.

·         Acme wins: there was an implied unilateral contract.

·         Acme wins: Ashley unjustly accepted a benefit she could have rejected.

Question 2

Delta Inc. offers to sell Omega Corp. a packaging machine. Omega responds “We’ll take it but only if there is a six-month warranty.” Which of the following is true?

·         There is a contract, and Omega has a six-month warranty.

·         There is a contract, but Omega does not have a six-month warranty.

·         There is a contract unless the warranty term is a material change.

·         There is no contract.

Question 3

Katrina is complaining to her landlord about the six-inch long cockroaches in her apartment. The landlord scoffs, saying: “Cockroaches don’t get that big! I’ll pay $10,000 to anyone who can show me a six-inch cockroach.” Will, a bug collector, overhears and promptly presents the landlord with his prize six-inch South American cockroach. The landlord refuses to pay, and Will sues. Which of the following best describes the situation?

·         There is no contract because the landlord never intended to make an offer.

·         There is no contract; a reasonable person wouldn’t believe the landlord intended to pay.

·         There is no contract because Will did not have the power of acceptance.

·         There is definitely a contract.

Question 4

A simple contract need(s)to

·         be oral.

·         You Answered

·         be entered into by a person, not a business.

·         not include an offer and acceptance.

·         not be signed by the parties.

Question 5

Alpha Inc. offers to sell a factory building to Delta Corp for $300,000. The offer states that it is good until June 1. On May 22, the CEO of Alpha emails an officer at Delta, informing him that she is withdrawing the offer. Which of the following is true?

·         Alpha may not revoke because it is a merchant

·         Alpha may not revoke whether or not it is a merchant

·         Alpha may revoke unless the offer was in a signed writing

·         Alpha may revoke whether or not the offer was in a signed writing

Question 6

Daniel offers to sell his Toyota Camry to Jen for $8,000. Jen replies, “I accept. Make sure you wash and wax the car before you bring it over.” Which best describes the situation?

·         There is a contract; Daniel must wash and wax the car.

·         There is a contract, but Daniel does not have to wash and wax the car.

·         There is no contract; Jen made a counteroffer.

·         There is no contract unless Jen is willing to take an unwashed car.

Question 7

Unlike the common law, the UCC provides that a merchant’s firm offer cannot be revoked if it

·         All of these

·         gives assurance it will be held open.

·         is in a signed document.

·         is made by a merchant.

Question 8

Royal Hotel Inc. orally orders 100 standard sets of sheets from Textile Inc. for a price of $500. Textile immediately sends back a written invoice with the details of the conversation. Royal and Textile

·         have an enforceable contract unless Royal objects within 10 days.

·         have an enforceable contract unless Textile objects within a reasonable time.

·         do not have an enforceable contract because it was an oral agreement.

·         do not have an enforceable contract because Royal never signed the invoice.

Question 9

If an offeree attempts to add different terms in an acceptance, which conflict with what the offeror stated

·         the terms cancel each other out.

·         the offeror’s terms govern the contract.

·         the offeree’s terms govern the contract.

·         the offeree’s terms govern the contract unless the offeror objects.

Question 10

Under the UCC, a court is most likely to find a contract is unconscionable and should be voided if

·         the terms are grossly unfair.

·         the parties do not have equal bargaining power.

·         the parties are both merchants. Correct!

·         Two of these

·         All of these