Question

Sara bought new lighting from a company and also hired the company to install new lighting for his business. The cost was going to be $5,000. The cost of goods was $3,000 and the labor costs were $2,000. This contract needs to be in writing. True False

Answer 1

True

Step-by-step explanation:

Contracts should be in writing because this guarantees that all the terms of the agreement are documented and the responsabilities of each party are stated. Also, contracts that involve the sale of goods with a value higher than $500 have to be in writing to be enforceable. So, according to this and considering that the total cost of the lighting is $5,000, it is true that the contract needs to be in writing.