1-A legally enforceable agreement under which two parties promise to do something for each other is known as a(n)
a) escrow agreement.
b) legal pledge.
c) valid contract.
d) option agreement.
2- Dave approaches Bob and says, "I'd like to buy your house." Bob says, "Sure," and they agree on a price. What kind of contract is this?
a) Implied
b) Unenforceable
c) void
d) There is no contract.
3- An option to purchase binds which of the following parties?
a) Buyer only
b) Seller only
c) Neither buyer nor seller
d) Both buyer and seller
4-During the period of time after a real estate sales contract is signed, but before title actually passes, the status of the contract is
a) voidable.
b) executory.
c) unilateral.
d) implied.
Please answer these questions and explain why.