Which of the Following Promises Does Not Have to Be

question 78

Multiple Choice

Which of the following promises does not have to be evidenced by a writing or electronic record in order to be enforceable?

• A) Jones's agreement with Smith to sell his condominium for $100,000.
• B) Stewart's promise to work for Austin for a two-year period.
• C) Dad's promise to the credit union that he will make payments on his son's truck.
• D) Mindy's agreement with Susan to buy her bike for $400.

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Definitions:

Consumer Surplus

The difference between what consumers are willing to pay for a good or service and what they actually pay, representing their net benefit.

Equilibrium Price

The price at which the quantity of a good or service demanded by consumers equals the quantity supplied by producers, leading to market balance.

Mutually Beneficial Trades

Exchanges between parties that provide benefits or gains to all involved, enhancing their welfare or utility.

Well-Functioning Markets

Markets that efficiently allocate resources through the mechanism of supply and demand, leading to optimal outcomes for both buyers and sellers.