Question Leo is the owner of a wine bar. He is trying to sell his bar to Mike. Mike wants to change the bar to a Chinese restaurant. Mike asked Leo whether the area of the bar could have enough space to set up 30 tables, each for 12 people. Although Leo have never had carried out any business of Chinese restaurant, he honestly believed that the area of the bar would be big enough to set up 30 tables. Part A Supposed that Mike trusted the above statement made by Leo and had bought the bar. He later found out that the bar was not big enough to set up 30 tables. Advise Mike that, in contract law, what he can do with the contract to buy the bar? Part B Leo provided the profit and loss accounts of the bar for the last two years to Mike. The accounts showed that the bar had made a profit of $400,000 per year. In fact, this figure had been exaggerated by Leo. Mike instructed his own accountant to review and check whether the accounts were correct. The accountant reported to Mike that he agreed with the profit and loss accounts provided by Leo. Mike was happy with such high profit of the bar and bought it from Leo. After operating the bar for six months, Mike realized that the bar could not have such high profit as stated in the profit and loss accounts provided by Leo. Advise Mike, whether he can rescind the contract on the ground of misrepresentation. (25 marks)