Cherry is in business selling high level office equipment. The following events took place:

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1 May:

Cherry was speaking to her brother, Andy, who has an office in Sydney, about a new printer that Cherry had in stock.

2 May:

Andy told his friend, Maria, that he intended to buy the printer. Later that day, Maria told Cherry that Andy intended to buy the printer.

Andy: Cherry: Andy: Cherry: Andy: Cherry:

How much is it? The lowest price I would consider is $1000. Ill take it. OK, you can have it for $1400. But you said $1000. We now have a contract for that price.

We dont have a contract. The price is $1400. I only have one in stock, but Ill give you first option at $1400 if you let me know in person by 6 May.

3 May: At 1:00pm, Cherry, forgetting her conversation of 2 May with Maria, offered to sell the printer to Jim for $1300. Jim replied "If you don't hear from me by 5:00pm today, you can assume I accept" Cherry did not respond to this but at 4:00pm, Cherry contacted Jim again, promising to also give Jim a large quantity of free paper if Jim agreed to buy the printer. Cherry did not hear from Jim again that day 4 May: Cherry changed her mind about selling to Andy. She tried to contact Andy but was not able to reach him 5 May: As she could not contact Andy, Cherry telephoned Maria and asked her to tell Andy that Cherry would no longer sell to him. 6 May: Maria told Andy that Cherry did not want to sell him the printer. Andy was not sure whether to believe her. 7 May: Andy phoned Cherry agreeing to buy the printer. During their conversation Andy said: "1. We had a contract for the printer at $1000 on 1 May; 2. If not, then we had a contract for the printer at $1400 on 2 May 3. If not, then we now have a contract for the printer at $1400" Cherry is confused and seeks your advice. Advise Cherry whether she has a contract to sell the printer to Andy or Jim