Which of the Following Statements Is TRUE

question 50

Multiple Choice

Which of the following statements is TRUE?

• A)An offer is automatically terminated as soon as it is accepted by one person.
• B)An invitation to treat indicates that the offeror is willing to receive an acceptance.
• C)The courts sometimes recognize a difference between an offeree's harmless inquiry and a counter offer.
• D)The courts use a subjective test to determine whether a statement is an offer or an invitation to treat.
• E)An invitation to treat indicates that the offeree is willing to receive an acceptance.

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Definitions:

Economic Events

Any occurrences or transactions that affect the financial position of a company, including sales, purchases, and investments.

Income Tax Regulations

The rules and laws that govern how income taxes are calculated, collected, and enforced by the tax authorities.

Owner Withdraws

Transactions where business owners take funds or assets out of the business for personal use, also known as drawings.

Personal Use

Utilization of a company or business asset for individual, non-business related activities or benefits.