Abel Enters into an Oral Contract to Work for Carr

question 36

Multiple Choice

Abel enters into an oral contract to work for Carr for an indefinite period of time at a rate of $50,000 per year.Is this agreement exempt from the statute of frauds?

• A)No,because the agreement covers services with a value in excess of $500.
• B)No,because the agreement covers a time period in excess of one year.
• C)Yes,because the agreement is for an indefinite period of time.
• D)Yes,because the work can be completed within one year.

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Definitions:

Marginal Cost

The cost of producing one additional unit of a good or service.

Marginal Benefit

Marginal benefit is the additional satisfaction or utility that a person receives from consuming an additional unit of a good or service.

Sushi Bar

A restaurant specializing in sushi, offering a variety of raw fish and seafood dishes, often served on a conveyer belt or prepared to order.

Additional Piece

A supplementary item or unit added to those already present or available.