A Buyer Who Is Not a Merchant in Boats Is

question 83

Multiple Choice

A buyer who is not a merchant in boats is at a boat store and orally agrees to purchase a sailboat for $2,000.The buyer sends a written confirmation to the boat dealer the next day describing all relevant terms of their agreement.When the buyer goes to the store a week later to pick up the boat,the store refuses to sell the boat for $2,000.Which is true?

• A) This contract is not enforceable because it is not in writing.
• B) This contract is enforceable because the boat dealer did not object to the written confirmation.
• C) This contract is enforceable if $2,000 is a reasonable price for the boat.
• D) This contract is enforceable because the boat dealer is a merchant.
• E) The firm offer rule would require the boat to be sold at the offered price of $2,000.

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Definitions:

Cash in Hand

Refers to the amount of currency and negotiable instruments that are immediately available for business transactions or expenses, not deposited in a bank or invested.

Total Debts

The sum of all liabilities, or the total amount of money that a person or entity owes to creditors.

Inventory Turnover

A measure of how quickly a company sells and replaces its inventory over a certain period, indicating the efficiency of inventory management.

Net Income

Net income represents the total earnings of a company after subtracting all expenses, taxes, and costs from its total revenue, indicating the actual profit made during a specified period.