(a) Sani offered to sell his car Honda City to Salmah, for RM50,000. Salmah was interested but thought that the price was too high. She asked Sani whether the he would consider selling the car for RM45,000. Sani refused to sell. Salmah said she will take it for RM50,000. There was no reply from Sani. Based on the sections of the Contracts Act 1950 and decided cases, appraise the status of the contract. (15 marks)

(b) Jamal is a wholesaler in palm oil. In fact he is the only supplier of palm oil in Selayang. Chin placed an order for 2 tons of oil, from Jamal. When the oil was delivered, Chin was furious because he had wanted coconut oil and not palm oil. Appraise the above situation based on the Contracts Act 1950. (10 marks)