Which of the Following Is False with Regard to Ending

question 62

Multiple Choice

Which of the following is false with regard to ending contracts and remedies?

• A) If Lori incurred costs in preparing to perform a contract that is ended by frustration, the court can allow Lori to keep some of the deposit paid by the other party to help cover those costs.
• B) If a person ignores a court order (e.g., an injunction), he could be cited for contempt of court.
• C) A breach of condition allows the party who suffers the breach to terminate the contract.
• D) The equitable remedy of specific performance is available in those situations where monetary compensation would not be adequate.
• E) The term "condition precedent" refers to a clause in a contract that brings the contractual obligations of the parties to an end upon the happening of some specific event.

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Definitions:

Profit-Maximizing Monopoly

A monopoly that adjusts its output level to where marginal costs equal marginal revenues to achieve the highest possible profit.

Additional Unit

In economics, refers to the next item or unit of production, used in analyzing the costs and benefits of producing one more unit of a good or service.

Average Total Cost

The total cost of production (fixed plus variable costs) divided by the total quantity produced, representing the cost per unit of output.

Monopolist Profit

The profit earned by a monopolist, which arises from controlling the market supply of a good or service and setting prices above marginal costs.