A Asks for Tenders for the Renovation of a Houseboat

question 2

Multiple Choice

A asks for tenders for the renovation of a houseboat. B makes the successful tender and begins to incur expenditure in anticipation of the renovation job. Unbeknownst to both A and B, the houseboat sank without a trace before they had contracted. Which of the following outcomes is likely?

• A) The contract will be void for common mistake.
• B) A will be treated as having promised that the houseboat existed, so B can sue for breach of contract.
• C) The contract will be voidable for common mistake.
• D) None of the options given are correct.

Understand the concept of price elasticity of demand and how it is determined.

Analyze the effects of price changes on total revenue depending on the elasticity of demand.

Grasp why demand elasticity can vary with the slope of the demand curve.

Understand why demand is more elastic in the long run compared to the short run.

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Definitions:

Sensing Types

Individuals who prefer to rely on tangible, concrete information perceived through their senses, emphasizing practicality and present realities.

Primary Audience

The audience who will make a decision or act on the basis of a message.

Sales Presentation

A promotional speech or pitch aiming to persuade an audience to purchase a product or service, often involving a demonstration or detailed explanation.

Communication Channel

The means by which you convey your message.