This is a three part question:

Part One: Alex offers to buy Ben's goat for $50. Ben rejects the offer. With respect to Alex's offer, it is:

a)Automatically terminated by Ben's rejection.

b)Still open because Alex's offer is an option contract.

c) Considered to be a counter offer upon Ben's rejection.

d)Still open to acceptance by ben so long as Alex has not withdrawn the offer.

Part Two: Johnnys friend Randall owns a cattle ranch. One day Johnny asks Randall if he ever thought about selling the ranch, to which Randall replied that as a matter of fact I was planning on listing it sometime next year for around a million dollars. The next week, Johnny sends Randy a check for one million dollars and a note that says I accept your offer to sell the ranch. Which of the following TWO statements are TRUE? Select 2 correct answer(s)

a)There is no contract because there has been no agreement.

b)Randall cannot rescind his offer once Johnny accepted it by making payment.

c)Randall's statement of intention is not an offer.

d) There is no contract because the element of consideration is missing.

Part Three: Johnny tells his employees that he will sell a watch to the first one who brings him a check for $500 dollars. Johnny meant to say $600. Jean brings Johnny a check for $500. Which of the following TWO statements are TRUE? Select 2 correct answer(s)

a) Johnny's promise is illusory because he meant to say $600.

b)The mistake is a unilateral mistake of value on Johnny's part and he therefore may not rescind the offer.

c) Jean may enforce the contract for the sale of the watch for $500.

d) Because Jean should have known that the value of the watch was much greater than $500, Johnny may rescind the offer.