Skyline Builders and Pine Lumber Had a Contract, Calling for Pine

question 42

Multiple Choice

Skyline Builders and Pine Lumber had a contract, calling for Pine Lumber to deliver a certain quantity of bricks to Skyline's place of business on the first of every month for one year. Pine delivered the bricks one week late for the first six months, but Skyline did not object. When Pine delivered the bricks one week late, as usual, in the seventh month, Skyline attempted to cancel the contract because of the late delivery. Which of the following is true about this scenario?

• A) Pine will have to return the delivery fee of the first six months because it broke the contract.
• B) Skyline does not have the legal right to modify the contract.
• C) Pine is not in breach because the delivery was made at the intended place of business.
• D) Skyline has waived its right to cancel the contract.

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Definitions:

Stock Price

The cost of purchasing a share of a company, reflecting the market's valuation of the company's future earnings potential.

Standardized Options

Options that have been standardized by an options exchange, detailing the specific terms such as expiration date and strike price.

National Exchange

A formal marketplace where securities, commodities, derivatives, and other financial instruments are traded.

CBOE

Chicago Board Options Exchange, the largest options exchange in the world, known for trading options and other securities.