A Breach of a Minor Term in a Contract

question 4

Multiple Choice

A breach of a minor term in a contract

• A)does not entitle an aggrieved party to abandon obligations under a contract.
• B)will enable an aggrieved party to elect to treat the breach as discharging the contract.
• C)does not entitle an aggrieved party to damages.
• D)amounts to a frustration of the contract.
• E)amounts to a termination of the contract.

---

Definitions:

Variable Cost Per Unit

The cost that varies with each unit produced or sold, not including fixed costs.

Fixed Cost Per Unit

The total fixed costs of production divided by the quantity of output produced, indicating how fixed costs dilute as production volume increases.

Mixed Cost

A cost composed of a fixed and variable component, changing with the level of output or activity.

Variable Cost

A cost that varies in direct proportion to changes in the level of activity or production volume.