Nick Carter, the owner of Bam Bam Ltd., placed a for-sale advertisement in a trade magazine. The advertisement read: "Industrial Snow Remover for Sale, $2,000." Neville and Lester both arrive at the shop and wish to acquire the machine. Neville is the first to meet Carter and says: "I accept your offer. Here is my $2,000 cheque." Lester then states: "Here is a $2,200 cheque. I will take your Industrial Snow Remover."Must Carter sell the Industrial Snow Remover to Neville? Explain. (3 marks)

ii) D offered to sell his automobile to E for $5,000 cash. E responded to D's offer by saying: "I will buy your automobile for $5,000. I will pay you $2,500 now, and $2,500 in one week's time." Have D and E formed a binding agreement? Explain. (3 marks)