Joe agreed on April 1 to sell and deliver 1,000 bushels of wheat to a grain elevator on June 1 for $10 per bushel.He then refused to deliver on June 1 because the market price was then $15 per bushel.How much can the grain elevator recover in damages from Joe?
A)Nothing
B)$5,000
C)$1,000
D)$1,500

Question

Quizplus · Accepted Answer

If the seller fails or refuses to deliver the goods called for by the contract,the buyer has the option of recovering damages for the nondelivery.The buyer can get the difference between the contract price of the goods and their market price at the time he learns of the seller's breach.

Joe Agreed on April 1 to Sell and Deliver 1,000