The Claim of Frustration Is Not Available in Which of the Following

question 140

Multiple Choice

The claim of frustration is not available in which of the following circumstances?

• A) The law changes, making performance illegal.
• B) A government policy prevents performance.
• C) The subject matter of the agreement is destroyed.
• D) An event that forms the basis of the contract does not take place.
• E) A change in circumstances makes it difficult or more costly for one of the parties to perform.

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Definitions:

Break-Even

The point at which total costs and total revenue are equal, meaning there is no net loss or gain, and the business or investment is self-sustaining.

Maximize Profits

A strategy or goal where a firm or individual seeks to achieve the highest possible profit from its operations.

Peak Efficiency

The state of operation in which a system or process achieves its maximum output with the lowest input, often ideal in terms of productivity.

Perfectly Competitive Firm

A company that operates in a market where there are many sellers and buyers, the product is homogeneous, and there is free entry and exit from the market.