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BLW 201 10TH ED CHAPTER 11 T/F SELF QUIZ



True/False
Indicate whether the sentence or statement is true or false.
 

 1. 

An agreement is usually evidenced by an offer and an acceptance.
 

 2. 

An offer does not need to be communicated to the offeree to be effective.
 

 3. 

An invitation to negotiate always constitutes a valid offer.
 

 4. 

An expression of opinion is not a valid offer.
 

 5. 

An advertisement is generally treated as an offer to contract.
 

 6. 

If an ad to sell a single item gets more than one acceptance, the offeror must sell the item to each party who accepted or be liable for breach of contract.
 

 7. 

A seller offering goods for sale in an auction through an auctioneer will create a binding contract.
 

 8. 

In an auction in which the seller reserves the right to accept or reject any bid, there is no binding contract until the seller accepts a bid, even if the auctioneer accepts a bid during the auction.
 

 9. 

A person who does not know about a reward cannot claim it.
 

 10. 

Revocation of an offer made to the general public must be communicated in the same manner in which the offer was communicated.
 

 11. 

There are no irrevocable offers.
 

 12. 

An offeror can revoke an option contract if the offeror decides that the consideration given is inadequate.
 

 13. 

The offeree's rejection of an offer terminates it.
 

 14. 

A counteroffer does not terminate but continues an offer.
 

 15. 

The mirror image rule requires an acceptance to adhere exactly to an offer to create a contract.
 

 16. 

The death of a party to a contract will always result in the automatic termination of that contract.
 

 17. 

To exercise the power of acceptance, an offeree must accept unequivocally.
 

 18. 

Under the mailbox rule, an acceptance can be valid as soon as it is sent.
 

 19. 

In most states, revocation is not effective until the offeree receives it.
 

 20. 

If an acceptance of an offer is received after the offer has been rejected, there is no contract.
 



 
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