In All but One of the Following Situations, the Contract

question 11

Multiple Choice

In all but one of the following situations, the contract is frustrated. Identify the exception.

• A) Wacky had contracted to supply a health-food store jars of melatonin, a hormone now thought to be a miracle potion. After the contract but before the delivery, the government banned the sale of melatonin so that it could be properly tested under government auspices.
• B) Craig, a trucker with whom you contracted last month to transport stoves tomorrow, phones to tell you that his truck has broken down.
• C) Tracey contracted to sing at a local club on March 10, but that morning the club was destroyed by lightning.
• D) On December 1, Pak contracted to buy Scott's horse, to be delivered day December 10. On December 8, the horse contracted rabies and had to be destroyed.
• E) You agree to paint Joe's house on the following Tuesday, but on the Monday before, through no fault of either party, the house is destroyed by fire.

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Definitions:

FICA Medicare Taxes

A specific portion of the FICA tax that is dedicated to funding Medicare, the U.S. government's health insurance program for seniors.

Federal Unemployment Tax

A tax paid by employers to fund the federal government's oversight of the state unemployment insurance programs.

State Unemployment Tax

A tax that employers are required to pay to the state, typically used to fund unemployment compensation benefits for workers who have lost their jobs.

Payroll Register

A payroll register is a comprehensive document that contains detailed information about the payroll of a company's employees, including wages, withholdings, and net pay.