Fact Pattern 18-B1 (Questions B9-B10 Apply)

question 20

Multiple Choice

Fact Pattern 18-B1 (Questions B9-B10 apply)
Moses sells an apartment building to Noelle with a promise to install a new heating and air conditioning system before September 1.The following February 1,Moses sends Ollie,an HVAC technician,to begin the installation.Noelle orders Ollie to leave and refuses to make further payments to Moses,who files a suit against Noelle.
-Refer to Fact Pattern 18-B1.Noelle's refusal to make further payments is most likely

• A)a material breach.
• B)complete performance.
• C)excused by Moses's failure to timely install the ventilation system.
• D)substantial,but not complete,performance.

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Definitions:

Value Basis

The underlying method used to determine the value of assets or liabilities, such as historical cost or market value.

Joint Costs

Costs incurred in the process of producing two or more products simultaneously where the costs cannot be individually attributed to a single product.

Product M

Refers to a specific good or service offered by a company, designated as "M" for differentiation.

Controllable Costs

Expenses that a manager or business unit has the authority to influence or change, such as materials or labor.