Question

Ann Frazer has just purchased a new Maserati. Ann will be borrowing the money from her bank. Ann signed the contract at 8:00 PM at the dealership and her bank will not be open until 10:00 AM the following day. Ann: a. has a contract regardless of whether her bank approves your loan. b. has made a conditional acceptance and has no contract. c. will be excused from her contract if the bank does not approve her loan. d. none of the above

Answer 1

Answer: C. will be excused from her contract if the bank does not approve her loan.

Explanation: Ann Frazer entered into a contract of sale knowing that the purchase will be financed by the bank. However, it would have been stated the the contract will become invalid if the purchasing party is unable to meet up with payment.

If Ann signs her contract at 8pm and her bank will not open until 10am the next morning. On getting to the bank, her loan was declined making her unable to pay for the car, then she will be excused from the contract.

Answer 2

Answer:c. will be excused from her contract if the bank does not approve her loan.

Explanation:The conditions she has with dealership is that she pays with this loan if she no longer have the loan she won't be able to pay and the dealership can't hold her any longer than necessary because it won't be any benefit to a dealer if she can't afford to do those payments required.