[Leaky Tub and Flaming Watercraft] Isaiah finished college, got a good job, and decided to sell some used items and buy newer ones. A used hot tub with a leak in it and a personal watercraft were at the top of the list. Isaiah offered to sell to Yasmeen the hot tub for $500. Yasmeen was interested but not willing to pay $500. She said "I'll give you $400." Isaiah said that he would think about it. Later, the same day, Isaiah offered to sell Donna the hot tub for $500. Donna said "Would you consider $450?" Isaiah said he would think on it. A few minutes later, Paul who had heard that Isaiah wanted to sell the hot tub accepted Isaiah's offer to sell for $500, and they agreed that the transfer would be made the next day. A few minutes later, Yasmeen called saying that she accepted Isaiah's offer to sell the hot tub for $500. A few minutes after that, Donna called and told Isaiah that she accepted his offer to sell the hot tub for $500. Isaiah told Yasmeen and Donna that he had already sold it, and they were angry and threatened to sue. Isaiah offered to sell the personal watercraft to Haley for $800. She said that she would think it over and let him know the next day. Unfortunately, through no fault of anyone, there was a fire at Isaiah's home that night and the personal watercraft burned. Haley called the next day and accepted before Isaiah could tell her the watercraft burned. When she found out about the fire, Haley told Isaiah that he had better come up with another watercraft, or she was going to sue.
-Which of the following is correct regarding the final status of the negotiations between Donna and Isaiah?
A) Donna rejected Isaiah's offer by making a counteroffer.
B) Donna did not reject Isaiah's offer because she merely made an inquiry.
C) Donna cannot accept Isaiah's offer because he already sold the hot tub, and that terminated the offer to her.
D) Donna cannot accept Isaiah's offer because it was revoked when he sold the personal watercraft to Paul.
E) Donna cannot accept Isaiah's offer because she did not do so in her initial conversation with Isaiah.
Correct Answer:
Verified
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