At an Auction for the First Time,Darcy Bids on a One-Hundred-Year-Old

question 59

Multiple Choice

At an auction for the first time,Darcy bids on a one-hundred-year-old Edison-brand phonograph,believing that it is worth more than the price asked. When the item proves to be less valuable,Darcy is

• A)liable on the bid.
• B)not liable on the bid because Darcy overestimated the value of the item.
• C)not liable on the bid because the auctioneer overstated the value of the item.
• D)not liable on the bid because this was Darcy's first auction

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Definitions:

Bills Of Exchange Act

Legislation that regulates the transfer, creation, and definition of bills of exchange, a type of financial instrument.

Endorse

To give support, approval, or recommendation publicly, or to sign the back of a financial instrument, transferring rights or ownership.

Refuse

To indicate unwillingness to accept, do, engage with, or consent to something.

Payable After Sight

A payment term indicating that the amount is due a certain number of days after the invoice or bill is presented and seen by the debtor.