LGS 200 Test 2 Questions with Correct Answers (Grade A+)
Question 1: an agreement between two or more competent parties, for valuable consideration, to
perform or to refrain from performing some act now or in the future
Answer: Contract
Question 2: the offerer must offer to enter into an agreement, and the offer must accept the terms of the
offeror's offer; mutual assent
Answer: Agreement
Question 3: arises when the offeror gives her promise in exchange for the offer's return promise (X
promises to deliver car to Y, and Y promises to pay an agreed price)
Answer: Bilateral contract
Question 4: arises when the offeree can only accept the offer by performance. Once the offeree begins to
perform, the offeror loses the ability to revoke her offer.
Answer: Unilateral contract
Question 5: a contract in which the terms of the agreement are explicitly stated orally or in writing
Answer: Express contract
Question 6: a contract formed in whole or in part by the conduct (as opposed to the words) of the
parties. ambulance example
Answer: Implied-in-Fact contract
Question 7: a contract that has been completely performed by both (or all) parties.
Answer: Executed contract
Question 8: a contract that has not yet been fully performed by one or more parties
Answer: Executory contract
Question 9: a promise of commitment to perform or refrain from performing some specified future act
made by the offeror. the offeror must seriously, and objectively, intend to perform or refrain as offered.
The terms must be reasonable certain or definite. The offeror must communicate this to the offeree
Answer: Offer
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, Question 10: a voluntary act by the offereeeither in the form of words or of conductwhich indicates
agreement to the terms of the offer. Must be unequivocal and must be communicated to the offeror. a
third party, other than the agent acting on behalf of the offeree, generally cannot substitute itself for the
offeree and accept the offer.
Answer: Acceptance
Question 11: an offeror may revoke his/her offer at any time prior to the offeree's acceptance
Answer: Revocation
Question 12: an offeree's acceptance must match the offeror's offer exactly
Answer: "Mirror Image" rule
Question 13: an offer *terminates* automatically if the subject matter of the contract (goods, property)
is destroyed prior to acceptance
Answer: Destruction of subject matter
Question 14: value given in return for a promiseto convince a party to agree to the deal
Answer: Consideration
Question 15: certain types of contracts must be evidenced by a signed writing in order to be
enforceable, including contracts involving an interest in real property, contracts that cannot (by their
terms) be performed within one year, promises made in consideration of marriage, and contracts for
the sale of goods for $500 or more
Answer: Statute of frauds
Question 16: What is the legal age for an adult?
Answer: 18
Question 17: a transaction whereby an obligee (the assignor) transfers her rights to some third party
(the assignee). as a consequence, the assignor's contract rights are extinguished, and the assignee may
demand any performance due to the assignor
Answer: Assignment (of rights)
Question 18: a third party for whose benefit a contract is formed (life insurance example- $ intended
for kids)
Answer: Intended beneficiary
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Question 1: an agreement between two or more competent parties, for valuable consideration, to
perform or to refrain from performing some act now or in the future
Answer: Contract
Question 2: the offerer must offer to enter into an agreement, and the offer must accept the terms of the
offeror's offer; mutual assent
Answer: Agreement
Question 3: arises when the offeror gives her promise in exchange for the offer's return promise (X
promises to deliver car to Y, and Y promises to pay an agreed price)
Answer: Bilateral contract
Question 4: arises when the offeree can only accept the offer by performance. Once the offeree begins to
perform, the offeror loses the ability to revoke her offer.
Answer: Unilateral contract
Question 5: a contract in which the terms of the agreement are explicitly stated orally or in writing
Answer: Express contract
Question 6: a contract formed in whole or in part by the conduct (as opposed to the words) of the
parties. ambulance example
Answer: Implied-in-Fact contract
Question 7: a contract that has been completely performed by both (or all) parties.
Answer: Executed contract
Question 8: a contract that has not yet been fully performed by one or more parties
Answer: Executory contract
Question 9: a promise of commitment to perform or refrain from performing some specified future act
made by the offeror. the offeror must seriously, and objectively, intend to perform or refrain as offered.
The terms must be reasonable certain or definite. The offeror must communicate this to the offeree
Answer: Offer
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, Question 10: a voluntary act by the offereeeither in the form of words or of conductwhich indicates
agreement to the terms of the offer. Must be unequivocal and must be communicated to the offeror. a
third party, other than the agent acting on behalf of the offeree, generally cannot substitute itself for the
offeree and accept the offer.
Answer: Acceptance
Question 11: an offeror may revoke his/her offer at any time prior to the offeree's acceptance
Answer: Revocation
Question 12: an offeree's acceptance must match the offeror's offer exactly
Answer: "Mirror Image" rule
Question 13: an offer *terminates* automatically if the subject matter of the contract (goods, property)
is destroyed prior to acceptance
Answer: Destruction of subject matter
Question 14: value given in return for a promiseto convince a party to agree to the deal
Answer: Consideration
Question 15: certain types of contracts must be evidenced by a signed writing in order to be
enforceable, including contracts involving an interest in real property, contracts that cannot (by their
terms) be performed within one year, promises made in consideration of marriage, and contracts for
the sale of goods for $500 or more
Answer: Statute of frauds
Question 16: What is the legal age for an adult?
Answer: 18
Question 17: a transaction whereby an obligee (the assignor) transfers her rights to some third party
(the assignee). as a consequence, the assignor's contract rights are extinguished, and the assignee may
demand any performance due to the assignor
Answer: Assignment (of rights)
Question 18: a third party for whose benefit a contract is formed (life insurance example- $ intended
for kids)
Answer: Intended beneficiary
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