Consumers Value High-Quality Dirt Bikes at $6,000 and Low-Quality Dirt

question 59

Multiple Choice

Consumers value high-quality dirt bikes at $6,000 and low-quality dirt bikes at $2,500. The supply of used high-quality dirt bikes is Q_H = 0.5P_H - 2,000, while the supply of used low-quality dirt bikes is Q_L = P_L - 1,000. Potential buyers cannot distinguish between the two. Buyers base their willingness to pay on the belief that half the used dirt bikes are high quality. At the buyers' willingness to pay, sellers will offer _____ high-quality bikes and _____ low-quality ones.

• A) 125; 3,250
• B) 2,000; 2,000
• C) 450; 900
• D) 3,000; 1,500

Understand the key legal concepts involved in resolving disputes over debt payments, including the difference between liquidated and unliquidated debts, and accord and satisfaction.

Identify the characteristics and enforceability of unilateral and bilateral contracts, including the requirement of consideration.

Recognize the impact and legal significance of the preexisting duty rule in contract modifications.

Discern when a promissory estoppel claim can be validly invoked in contractual disputes.

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Definitions:

Guilt

An emotional experience that occurs when a person believes they have violated a moral standard, causing internal conflict and feelings of remorse.

Basic Negativism

A term describing an oppositional or resistance attitude where an individual may do the opposite of what they are requested to do, or resist external commands and demands.

Emotional Disturbances

Conditions that significantly impact a person's emotional and psychological well-being, often interfering with daily life and functioning.

Cerebral Dysfunction

A disruption or impairment in the normal functioning of the brain.