Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Kerry is interested in selling her convenience store for approximately $250 000 to $300 000. As Kerry is unfamiliar with the commercial real estate market

Kerry is interested in selling her convenience store for approximately $250 000 to $300 000. As Kerry is unfamiliar with the commercial real estate market in Red Deer, she engages a real estate agent, Patrick. The engagement is a standard form listing agreement. Patrick shows the building to a young couple, Paul and Rick, who seems to be quite interested. In fact, they make an offer in writing to purchase the building for $250 000. They also indicate that they need a reply immediately. Patrick calls Kerry but is unable to reach her. Patrick is in a quandary, but knowing that Paul and Rick's offer is in Kerry's range, albeit at the bottom, Patrick accepts the offer on Kerry's behalf (he signs the written offer). Upon learning of Patrick's actions, Kerry is quite upset and wonders whether she must sell the building to Paul and Rick. Advise Kerry.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting

Authors: Steven M. Bragg

1st Edition

1642210803, 9781642210804

Students also viewed these Accounting questions