As the Result of a Seller's Breach, a Buyer May

question 28

Multiple Choice

As the result of a seller's breach, a buyer may ask for incidental damages. Which of the following is not an example of costs that would lead to incidental damages?

• A) storing goods in a warehouse
• B) making calls to obtain replacement goods
• C) inspecting the goods
• D) the difference between the cost of the goods in the contract and the replacement goods.

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Definitions:

Reinforcement Theory

A theory in psychology that posits behavior is motivated by its consequences, through rewards or punishments.

Nonbinding Price Floor

A minimum price set by the government that is below the equilibrium price, having no effect on the market price or quantity sold.

Consumers

Consumers are individuals or entities that use or consume goods and services for personal use, not for manufacturing or resale.

Producers

Individuals or entities that create, manufacture, or grow products for the purpose of selling them to consumers or other businesses.