BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Consideration is something of value exchanged between the parties to a contract. Consideration can be many things such as money, property, service, work performance, or a promise to not do something. As long as the parties to the contract exchange something of value between each other, there is consideration.

Detailed explanation-2: -The three requirements of consideration are: (1) each party must give an act, forbearance, or promise to the other; (2) each party must trade what he or she contributes to the transaction for the other party’s contribution; and (3) what is traded must have value in the eyes of the law.

Detailed explanation-3: -The statement, “For consideration to have legally sufficient value, it must consist of goods or money, ” is False. Consideration means anything of value offered in exchange. An offer of value could be a promise to do or not to do something.

Detailed explanation-4: -Consideration is one of the most important parts of a contract because it states why each party is joining the agreement. Consideration can be the exchange of money for products or services, or it can be a trade of one type of product for another type of product.