Pina Contractually Agreed to Purchase a Shipment of Beans from Jerry.The

question 75

Multiple Choice

Pina contractually agreed to purchase a shipment of beans from Jerry.The beans were to be delivered on June 15.A court recently held that Pina is entitled to discharge the contract because Jerry did not perform as required by the agreement.Assuming that the general rules of contract are all applicable in this case,which of the following statements is most likely TRUE?

• A)Jerry breached the contract by delivering the beans on June 17.
• B)Pina will rely upon the remedy of rescission.
• C)Jerry breached a term that the court classified as a warranty.
• D)Although Jerry was able to deliver the beans on June 15,he had announced on May 30 that he would not be able to perform on time.
• E)While Pina initially decided to carry on with the contract after Jerry's anticipatory repudiation and after Jerry did not deliver the beans on June 15,she changed her mind after the price of beans dropped and she was able to obtain the same quantity of beans from another supplier at a lower cost.

---

Definitions:

Depreciation

The methodical allocation of the cost of a tangible asset over its useful life.

Interest Rate

The cost of borrowing money or the reward for saving, expressed as a percentage of the money borrowed or saved.

Gross Investment

The total amount invested in the purchase of new capital assets plus replacement of depreciated assets, reflecting the total expenditure on new capital in an economy.

Depreciation

The process of allocating the cost of a tangible asset over its useful life, reflecting the decrease in value over time due to wear and tear or obsolescence.