Question

The document that expresses an intention to purchase without creating any firm legal obligation to do so is known as: Select one:

a. a letter of intent.
b. an offer to purchase
c. a purchase contract
d. an exclusive right to sell

Answer 1

A letter of intent is a document that expresses an intention to purchase without creating any firm legal obligation to do so. It is non-binding and serves as a preliminary agreement between the parties involved in a potential transaction.

Step-by-step explanation:

The document that expresses an intention to purchase without creating any firm legal obligation to do so is known as a letter of intent. Unlike a purchase contract, a letter of intent is typically non-binding and serves as a preliminary agreement between the parties involved in a potential transaction. It outlines the key terms and conditions of the proposed purchase, allowing the parties to negotiate and determine whether they want to proceed.