Erté Holds 1,000 Pounds of Perishable Fruit in Storage for Fresh

question 13

Multiple Choice

Erté holds 1,000 pounds of perishable fruit in storage for Fresh Stuff Corporation. Fresh Stuff does not pay for the storage. Erté sells the fruit to Green Grocers, Inc. This sale represents café

• A) a breach of contract.
• B) a mitigation of damages.
• C) rescission and restitution.
• D) specific performance.

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Definitions:

Clock Card

A card used by employees when clocking in and out of the factory; it becomes the basis for the payroll.

Payroll

The total amount of wages, salaries, bonuses, and deductions paid to or on behalf of employees over a specific period.

Manufacturing Overhead-Control

An accounting method used to gather and monitor the costs associated with the manufacturing process but not directly tied to specific products, such as rent, utilities, and salaries.

Supplies Inventory

Items and materials held by a company in stock that are necessary for its operations but not yet used or sold.