__ 31. In a dispute over a sale involving a bicycle, Dain argues that as to this deal Emory’s Hobby Shop, where Dain
bought the bike, is a merchant. A court may determine whether Emory’s is a merchant by assessing whether
a. it holds itself out by occupation as having knowledge or skill unique to the bike in the
b. it subscribes to Bike, a biweekly trade magazine.
c. it has sold any bikes within the last year.
d. its owner enjoys biking.
____ 32. Liz offers to sell Max her iPad for $200. Max says “Okay, but only if you include the case and other
accessories.” Max has
a. made a counteroffer without rejecting the offer.
b. rejected the offer without making a counteroffer.
c. rejected the offer and made a counteroffer [Answer]
d. accetped the offer.
____ 33. NoGas, Inc., designs and make a non-fuel propulsion system that copies parts of Omni Momentum
Corporation’s designs without Omni’s permission. This is most likely
a. patent infringement [Answer]
b. copyright infringement.
c. not infringement.
d. trademark infringement.
____ 34. Sunshine Cell Phone Company offers to buy a laser printer, with a case of paper and an extra cartridge, from
Office Products, Inc. (OPI), for $200. Paul, OPI’s representative, says, “Okay, but no paper and no extra
cartridge.” Paul has
a. rejected the offer without making a counteroffer.
b. accepted the offer.
c. rejected the offer and made a counteroffer [Answer]
d. made a counteroffer without rejecting the offer.
____ 35. Rene operates The Spicy Chocolatier Cafe chain of restauants. “The Spicy Chcolatier Cafe” is
a. a certification mark.
b. none of the choices.
c. a service mark.
d. a trade name [Answer]
____ 36. Sales Marketing Corporation and Tech Support., Inc. negotiate a contract. If the contract has all of the
elements necessary for one of the parties to enforce it in court, it is
a. an unenforceable contract.
b. a void contract.
c. a voidable contract.
d. a valid contract [Answer]
____ 37. Crafted Metal Works, Inc., offers to design, make, and sell Downtown Transit Agency fourteen streetcars.
Cafted Metal authorizes a particular mode of communication, but Downtown transit send an acceptance via a
substituted means. this acceptance is effect when it is
b. in transit.
d. received [Answer]
____ 38. Quick Transport, Inc., offers to sell a truckload of palettes to Rapid Delivery Company. Before accepting the offer, Rapid learns that the palettes have been sold to Speedy Trucking Corporation. Quick is
a. not liable, because the sale revoked the offer to Rapid [Answer]
b. liable to Rapid for breach of contract.
c. liable to Speedy for breach of contract.
d. not liable, if Quick offers substitute goods to Rapid.
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____ 39. Mallory promises to buy illegal digital copies of movies from Napoleon, who promised to deliver on October
31. These promises are most likely
c. void [Answer]
____ 40. Like most successful companies, Pads & Phone, Inc. (P&P), has trade secrets. The law protects those secrets
a. P&P employees do not divolge the information to outside parties.
b. the information is unique and has value to a competitor [Answer]
c. P&P employees do not handle confidential documents.
d. P&P emploees never leave the company.
____ 41. Naomi tells Ogden, who has no knowledge of Shakespearean comedy, that she will tutor him in the subject
for $50. As an offer, this is
a. not effective because comedy is not a serious subject.
b. no effective because Naomi’s tutoring will be subjective.
c. not effective because Ogden has no knowledge of the subject.
d. effective [Answer]
____ 42. Octavio receives a catalogus from Pastry Dough, Inc., and a “personalized” letter inviting Octavio to buy any
item at the advertised price. This is
a. an offer because there is no room for price negotiation.
b. an offer because of the “personalized” letter.
c. not an offer [Answer]
d. an offer only if Octavio previously bought items from Pastry Dough.
____ 43. Eve tells Finlay that she will pay him $50 if he unloads her truck. Finlay’s acceptance is complete
a. once Finlay starts to unload the truck.
b. when Finlay hears Eve’s offer.
c. as soon as Finlay says he will unload the truck.
d. only after Finlay unloads the truck [Answer]
____ 44. RiteMade Machinery, Inc., designs, makes, and sells a drill press. Steel Equipment Company copies the
design without RiteMade’s permission. Steel’s conduct is actionable provided
a. Steel’s conduct is intentional.
b. consumers are confused.
c. RiteMade’s design is patented [Answer]
d. Steel’s conduct reduces the value of RiteMade’s design.
____ 45. Ric designs a new computer hard drive, which he names “Sci Phi.” He also writes the operating manual to be
included with each final product. Ric could obtain patent protection for
a. the name only.
b. the hard drive only [Answer]
c. the operating manual only.
d. the hard drive, the name, and the operating manual.
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