CA Legal Aspects in RE Chapter 7
UPDATED ACTUAL Exam Questions and
CORRECT Answers
What are the four essential elements required to form a valid contract?
A. Offer, Acceptance, Consideration, Legal Purpose
B. Offer, Acceptance, Consideration, Capacity to Contract
C. Offer, Acceptance, Legal Purpose, Capacity to Contract
D. Offer, Consideration, Capacity to Contract, Mutual Consent - CORRECT ANSWER -b
What is the difference between an express contract and an implied contract?
A. Express contracts are in writing; implied contracts are verbal.
B. Express contracts are made with words, spoken or written; implied contracts are formed by
actions.
C. Express contracts must be notarized; implied contracts do not need to be.
D. Express contracts are only for real estate transactions; implied contracts are for personal
property. - CORRECT ANSWER -b
Which of the following best describes a bilateral contract?
A. Only one party makes a promise.
B. Both parties make binding promises to each other.
C. The contract is implied by actions.
D. The contract is only enforceable if notarized. - CORRECT ANSWER -b
What is a voidable contract?
A. A contract that is never enforceable.
B. A contract that is valid unless rejected by one of the parties.
C. A contract that is missing one of the essential elements.
UPDATED ACTUAL Exam Questions and
CORRECT Answers
What are the four essential elements required to form a valid contract?
A. Offer, Acceptance, Consideration, Legal Purpose
B. Offer, Acceptance, Consideration, Capacity to Contract
C. Offer, Acceptance, Legal Purpose, Capacity to Contract
D. Offer, Consideration, Capacity to Contract, Mutual Consent - CORRECT ANSWER -b
What is the difference between an express contract and an implied contract?
A. Express contracts are in writing; implied contracts are verbal.
B. Express contracts are made with words, spoken or written; implied contracts are formed by
actions.
C. Express contracts must be notarized; implied contracts do not need to be.
D. Express contracts are only for real estate transactions; implied contracts are for personal
property. - CORRECT ANSWER -b
Which of the following best describes a bilateral contract?
A. Only one party makes a promise.
B. Both parties make binding promises to each other.
C. The contract is implied by actions.
D. The contract is only enforceable if notarized. - CORRECT ANSWER -b
What is a voidable contract?
A. A contract that is never enforceable.
B. A contract that is valid unless rejected by one of the parties.
C. A contract that is missing one of the essential elements.
