CONTRACT LAW MCQ PRACTICE EXAM 2 UPDATED
QUESTIONS AND VERIFIED ANSWERS
Elliot enters into a contract to purchase JD's house, and then changes her mind. JD sues her for breach
of contract. The lawsuit for a breach of contract will be governed by
a. common law of contracts.
b. agency regulations.
c. state statute.
d. the Uniform Commercial Code - CORRECT ANSWER✅✅✅a
Troy, who is 18, offers to sell Jenna, who is also 18, his car for $5,000. Jenna accepts Troy's offer, but
only agrees to pay $4,500 for the car. Which of the following contract elements has not been met?
a. Legality.
b. Offer.
c. Acceptance.
d. Contractual Capacity. - CORRECT ANSWER✅✅✅c
Jackson offers to pay Casey $50 for his used business law textbook. Casey agrees to sell it for that
amount. They agree to meet one week later to exchange the money for the book. Casey and Jackson
have formed
a. a formal contract.
b. no contract.
c. a unilateral contract.
d. a bilateral contract. - CORRECT ANSWER✅✅✅d
Marcy tells Jessica that she will buy Jessica a new dress if she reads a book by Friday night. Jessica begins
reading and has only two chapters left to finish when Marcy tells Jessica that she has changed her mind
and will not buy the dress. Under the modern approach to contracts, Marcy and Jessica
a. have no contract until Jessica finishes reading.
b. formed a unilateral contract as soon as Jessica began reading.
c. have not formed a contract, and Marcy owes Jessica nothing.
, d. formed a bilateral contract as soon as Jessica began reading. - CORRECT ANSWER✅✅✅b
Carmen owns a 2009 Toyota Camry that has been driven 24,000 miles and, to his knowledge, has no
mechanical problems. He offers to sell the car to his friend Jamie for $12,000. Jamie accepts Carmen's
offer. Jamie and Carmen have
a. an executed contract.
b. a quasi-contract.
c. an express contract.
d. an implied contract. - CORRECT ANSWER✅✅✅c
Carol's car was hit while it was parked. Carol calls A-1 Towing, tells the dispatcher the car needs to be
towed, and gives her location. Carol never mentions a price and leaves before the tow truck arrives, so
she does not talk with the driver or sign any documents. Carol
a. owes the company for towing her car under an implied contract.
b. owes the company for towing her car under an express contract.
c. does not owe the company for towing her car, because she did not have a chance to reject its
services.
d. does not owe the company for towing her car, because she did not know that she would have to pay.
- CORRECT ANSWER✅✅✅a
Patricia drives to her favorite gas station and tells the attendant to fill her tank. The attendant asks
Patricia what grade she wants, and she tells him, "regular." The attendant fills the tank. At this point, the
contract between the station and Patricia is
a. executory.
b. executed.
c. unenforceable.
d. void. - CORRECT ANSWER✅✅✅a
Kelly tells Matthew that she will sell him one of her motorcycles at some time in the future. Matthew
eagerly accepts. Do they have a valid contract?
a. Probably, because the parties knew what they were discussing.
b. Probably, because Kelly failed to communicate the offer to the offeree.
QUESTIONS AND VERIFIED ANSWERS
Elliot enters into a contract to purchase JD's house, and then changes her mind. JD sues her for breach
of contract. The lawsuit for a breach of contract will be governed by
a. common law of contracts.
b. agency regulations.
c. state statute.
d. the Uniform Commercial Code - CORRECT ANSWER✅✅✅a
Troy, who is 18, offers to sell Jenna, who is also 18, his car for $5,000. Jenna accepts Troy's offer, but
only agrees to pay $4,500 for the car. Which of the following contract elements has not been met?
a. Legality.
b. Offer.
c. Acceptance.
d. Contractual Capacity. - CORRECT ANSWER✅✅✅c
Jackson offers to pay Casey $50 for his used business law textbook. Casey agrees to sell it for that
amount. They agree to meet one week later to exchange the money for the book. Casey and Jackson
have formed
a. a formal contract.
b. no contract.
c. a unilateral contract.
d. a bilateral contract. - CORRECT ANSWER✅✅✅d
Marcy tells Jessica that she will buy Jessica a new dress if she reads a book by Friday night. Jessica begins
reading and has only two chapters left to finish when Marcy tells Jessica that she has changed her mind
and will not buy the dress. Under the modern approach to contracts, Marcy and Jessica
a. have no contract until Jessica finishes reading.
b. formed a unilateral contract as soon as Jessica began reading.
c. have not formed a contract, and Marcy owes Jessica nothing.
, d. formed a bilateral contract as soon as Jessica began reading. - CORRECT ANSWER✅✅✅b
Carmen owns a 2009 Toyota Camry that has been driven 24,000 miles and, to his knowledge, has no
mechanical problems. He offers to sell the car to his friend Jamie for $12,000. Jamie accepts Carmen's
offer. Jamie and Carmen have
a. an executed contract.
b. a quasi-contract.
c. an express contract.
d. an implied contract. - CORRECT ANSWER✅✅✅c
Carol's car was hit while it was parked. Carol calls A-1 Towing, tells the dispatcher the car needs to be
towed, and gives her location. Carol never mentions a price and leaves before the tow truck arrives, so
she does not talk with the driver or sign any documents. Carol
a. owes the company for towing her car under an implied contract.
b. owes the company for towing her car under an express contract.
c. does not owe the company for towing her car, because she did not have a chance to reject its
services.
d. does not owe the company for towing her car, because she did not know that she would have to pay.
- CORRECT ANSWER✅✅✅a
Patricia drives to her favorite gas station and tells the attendant to fill her tank. The attendant asks
Patricia what grade she wants, and she tells him, "regular." The attendant fills the tank. At this point, the
contract between the station and Patricia is
a. executory.
b. executed.
c. unenforceable.
d. void. - CORRECT ANSWER✅✅✅a
Kelly tells Matthew that she will sell him one of her motorcycles at some time in the future. Matthew
eagerly accepts. Do they have a valid contract?
a. Probably, because the parties knew what they were discussing.
b. Probably, because Kelly failed to communicate the offer to the offeree.
