Question

tara is building an artificial beach at her lakefront resort. she agrees in writing to buy 1,000 tons of sand from frank for $20 per ton, with delivery on june 1, at her resort. frank fails to deliver any sand, and tara is forced to go elsewhere. she buys 1,000 tons of sand from maureen at $25 per ton, and then is forced to pay $5,000 to haul the sand to her resort. tara sues frank. tara will recover
nothing
$5,000
$10,000
$15,000

Explanation:

Tara had a contract with Frank for 1,000 tons of sand at $20 per ton. Frank breached the contract. Tara bought from another source at $25 per ton, an extra $5 per ton cost. So the extra cost for 1,000 tons is $5\times1000 = $5,000, and she also has $5,000 in hauling costs. Total damages = ($25 - $20)×1000+ $5,000.

Answer:

D. $15,000