Card 0 of 6
Which of the following pairs of elements must a client prove to hold an accountant liable for common law fraud?
Common law fraud requires five elements all to be met: 1) misrepresentation of a material fact by the defrauding party; 2) scienter (intent to deceive); 3) intent to induce reliance; 4) reasonable reliance, and 5) actual damages to another party.
Compare your answer with the correct one above
Which of the following circumstances generally will cause a discharge of contractual duties by operation of law?
“Operation of law” refers to legal consequences of events based on legal principles, rather than from an individual’s action or a court order. In the event that performance becomes impossible (e.g., a person contracted to provide services dies or becomes incapacitated), this necessarily discharges the duties of performance.
Compare your answer with the correct one above
If a party to a contract engages in an anticipatory repudiation of the contract, which of the following statements is correct?
Anticipatory repudiation occurs when a party declares that he or she does not intend to fulfill the obligations of a contract. This creates a material breach wherein the other party may take action prior to the repudiating party’s attempt at performance. The repudiating party may retract the repudiation unless the other party has cancelled or materially changed the contract.
Compare your answer with the correct one above
In determining whether the consideration requirement to form a contract has been satisfied, the consideration exchanged by the parties to the contract must be:
To be effective, consideration must be legally sufficient which means something that the law recognizes as consideration.
Compare your answer with the correct one above
ABC offered, in writing, to sell DEF a parcel of land for $200,000. If ABC dies, the offer will:
The death of an offeror prior to acceptance terminates the offer by operation of law without notice to the offeree.
Compare your answer with the correct one above
The statute of limitations time period would begin from which of the following dates if there is a breach in a construction contract?
The statute of limitations begins when the contract is breached when the wrongdoing has begun. None of these other dates would be the starting period.
Compare your answer with the correct one above