Business Law Departmental Exam Test Bank - DEPARTMENT EXAM...

DEPARTMENT EXAM TEST BANK
True/False
Indicate whether the sentence or statement is true or false.
The offeror is the party with the power to decide whether to create a contract.
An offer made as a joke, where a reasonable person would conclude that it was made as a
joke, cannot result in a contract.
The communication of an offer can be made by the offeror or the offeror's agent.
The mirror image rule permits the offeree's acceptance of a contract to vary from the offer.
9. __F__ A person who delegates his contractual duties is fully relieved of any further duty to perform
under that contract.
A parent or parents who sign a contract on behalf of their minor child may disaffirm the
contract just as their child may.
A party who makes a mistake about the value of the object of a contract is normally
permitted to avoid the contract.
Expenses, such as those incurred to obtain performance from a source other than the
original contracting party, are called consequential damages.
An incidental beneficiary can directly sue the maker of a contract in the case of breach.
A quasi contract is another name for an oral contract.
22. __F__ "I promise to pay you $100 if you will promise to fix my car next month." This is an offer
for a unilateral contract.
If a person who has been declared incompetent by a court enters into an agreement, that
agreement is void, because it does not meet all the requirements of a binding contract.