Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA LW Exams › Consideration
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- January 15, 2018 at 6:17 pm #430198
Alvin runs a business selling expensive cars. Last Monday he mistakenly placed a notice on one car indicating that it was for sale of $5000
when in fact its real price was $25000. Bert later noticed the sign and recognizing what a bargain it was immediately
indicated to Alvin that he accepted the offer and would take the car for the indicated amount. Alvin, however, told bert
that there had been a mistake and that the true price of the car was $25000.. Bert insisted that he was entitled to get
the car at the lower price , and when alvin would not give to him at that price Bert said he would sue Alvin.After Bert had left, Alvin chnaged the price on the car to $25000 and subsequently Cat came in and said she would like
to buy the car, but that she would have to arrange the finance.My question: Sir here, as C said that she would have to arrange the finance so is it executory consideration?
January 15, 2018 at 6:44 pm #430209Yes, I suppose it is. But so too is Alvin’s side of the transaction because Cat has not taken possession of the car
Alvin owes her the car
Cat owes Alvin the money
OK?
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