1. Big-Mart ran a television advertisement stating that they were selling tablets for $299. Paulo rushes down to Big-Mart and attempts to purchase three tablets, but just as he arrives, he sees a Big-Mart employee changing the price tag on the tablets from $299 to $599. Paulo insists that he be allowed to buy the tablets at $299 because he saw the ad. Is he correct?

A Yes, because he accepted the offer stated in Big-Mart's advertisement.

B Yes, because Big-Mart had tablets in stock and should have sold him one at the advertised price.

C No, because advertisements are generally not offers.

D No, because Big-Mart ran out of the items in question.

2. If a salesman offers to sell Tyler a piece of equipment for $10,000, and Tyler says, "I accept your offer to purchase the equipment for $10,000," have they formed a contract?

A No, because Tyler's acceptance violated the mirror image rule.

B No, because Tyler's acceptance violated the mailbox rule.

C Yes, because Tyler accepted the offer.

D Yes, because Tyler's acceptance only modified the offer slightly.

Answer rating: 100% (QA)

Step 1 Advertisements can be considered as the proper invitation to establish a legally valid contra... View the full answer