Scenario: Jacob and Stanley are good friends and enjoy motorcycles.

One day, on October 1, 2022, Jacob offers to sell his black motorcycle to Stanley for $8000.00.

On October 1, 2022, Jacob says to Stanley: "I will sell you my black motorcycle for $8000.00."

Stanley REALLY wants to buy Jacob's motorcycle, but is NOT sure if he can afford eight thousand dollars.

On October 2, 2022, Stanley replies to Jacob: "I would love to buy your black motorcycle but is there any chance that you would consider lowering the price? Eight thousand dollars is super expensive!!"

On October 3, 2022, Jacob responds by telling Stanley that Jacob will NOTlower the price of $8000.00 for the black motorcycle.

On October 3, 2022, Stanley replies to Jacob with the following statement: "Okay, I understand. I will buy the black motorcycle for $8000.00."

The parties have an agreement.

Question: WHICH OF THE FOLLOWING IS ENTIRELY TRUE:

1. Jacob is the OFFEROR and Stanley is the OFFEREE. When Stanley asks Jacob IF Jacob will lower the price for the motorcycle, Stanley remains the OFFEREE. When Stanley tells Jacob he will buy the motorcycle for $8000.00, Stanley remains the OFFEREE and Jacob remains the OFFEROR. The parties participated in preliminary negotiations.Stanley accepts Jacob's offer and there is a bilateral contract between the parties.

1. Jacob is the OFFEROR and Stanley is the OFFEREE. When Stanley asks Jacob IF Jacob will lower the price for the motorcycle, Stanley makes a COUNTER-OFFER to buy the motorcycle at a price that is less than $8000.00. Thus, Stanley becomes the new OFFEROR and Jacob becomes the new OFFEREE. This is an express bilateral contract.

1. Jacob is the OFFEROR and Stanley is the OFFEREE. When Stanley asks Jacob IF Jacob will lower the price for the motorcycle, Stanley has rejected Jacob's offer of $8000.00 for the motorcycle and made a Counter-Offer that Jacob does not accept. Thus, there is not a bilateral contract.