Arthur holds an auction of a rare painting with reserve. He opens the bidding at $1,000. Adele bids $1,500. Arthur changes his mind before the auctioneer says "sold". Which of the following statements is correct: a. Arthur must sell the painting to Adele because she bid more than the opening bid b. Arthur must sell the painting to Adele because the offer is accepted the moment Adele offers $1,500 c. Arthur does not have to accept the bid because $1,500 is too little money for a rare painting d. Arthur can change his mind any time before the auctioneer calls out "sold" QUESTION 44 An option contract takes away the offeror's power to revoke an offer for the period of time specified in the option. True False QUESTION 45 Wendy and Johnny enter into a contract for the sale of Wendy's collie Lassie, for $400. Although both Wendy and Johnny were unaware of this, Lassie died half an hour before the contract was signed. Which of the following is true: a. Wendy must provide another collie of the same value to Johnny b. Johnny must pay Wendy $400, because he assumed the risk that Lassie might die at any time c. Wendy is not required to pay anything d. Wendy is still liable under the contract, less the cost of Lassie's burial QUESTION 46 The only form of valid consideration in a contract is money True False QUESTION 17 Arthur holds an auction of a rare painting with reserve. He opens the bidding at $1,000. Adele bids $1,500. Arthur changes his mind before the auctioneer says "sold". Which of the following statements is correct: a. Arthur must sell the painting to Adele because she bid more than the opening bid b. Arthur must sell the painting to Adele because the offer is accepted the moment Adele offers $1,500 c. Arthur does not have to accept the bid because $1,500 is too little money for a rare painting d. Arthur can change his mind any time before the auctioneer calls out "sold" QUESTION 44 An option contract takes away the offeror's power to revoke an offer for the period of time specified in the option. True False QUESTION 45 Wendy and Johnny enter into a contract for the sale of Wendy's collie Lassie, for $400. Although both Wendy and Johnny were unaware of this, Lassie died half an hour before the contract was signed. Which of the following is true: a. Wendy must provide another collie of the same value to Johnny b. Johnny must pay Wendy $400, because he assumed the risk that Lassie might die at any time c. Wendy is not required to pay anything d. Wendy is still liable under the contract, less the cost of Lassie's burial QUESTION 46 The only form of valid consideration in a contract is money True False QUESTION 17