An Option Contract

question 5

Multiple Choice

An option contract:

• A)removes the possibility of revocation through death or insanity of the offeror.
• B)is valid only if in return for the agreement to hold the offer open,the offeror receives no money or something else of value from the offeree.
• C)is a contract that permits a party to lease real property while at the same time holding an option to purchase that property.
• D)is an agreement that binds an offeror to a promise to hold open an offer with no time limit specified.

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Definitions:

Conditioned Response

The learned reaction to a previously neutral stimulus that becomes conditioned through association with an unconditioned stimulus.

Stimulus Generalization

The tendency for a learned response to stimuli that are similar to the original conditioned stimulus to evoke the same response, without having been explicitly taught.

Discrimination Learning

The process through which an organism learns to respond differently to various stimuli, distinguishing between them based on their differences.

Discriminative Stimulus

A stimulus in the presence of which a particular response will be reinforced or punished, indicating when a behavior is likely to have a consequence.