Ann Was Offered a Job That Would Pay $50,000, That

question 121

Multiple Choice

Ann was offered a job that would pay $50,000, that would provide for 18 days of vacation after one year of employment, and that would begin one week after her graduation. She wrote back that she would accept the job, but that she would not begin until three weeks after graduation and needed at least 21 days of vacation after the first year of work. On these facts, which of the following is true?

• A) If she had not responded, there would have been a contract because silence is the standard form of acceptance.
• B) Since she accepted the offer, there is a contract.
• C) There is no contract because an acceptance must be unconditional, and her counteroffer has not been accepted.
• D) She is still free to reconsider and take the original offer even after the prospective employer received her letter.
• E) There is a contract as soon as she drops her letter in the mailbox.

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Definitions:

Accounts Payable

Liabilities owed by a business to its creditors for goods and services purchased on credit, which are due within a short period.

Financing Activities

Transactions and events that affect a company's capital structure, including borrowing, repaying debt, issuing equity, and paying dividends.

Statement Of Cash Flows

A financial statement that summarizes the amount of cash and cash equivalents entering and leaving a company.