Question: Cows Milk Farms needs a certain part for its pasteurizing equipment and enters into a contract to purchase the part from Dairy Supplies Inc., for

Cows Milk Farms needs a certain part for its pasteurizing equipment and enters into a contract to purchase the part from Dairy Supplies Inc., for $3000, with delivery promised on Monday. Cows Milk also notifies Dairy Supplies that it must receive the part by Tuesday or it will lose $10,000 in business. If Dairy Supplies ships the part late, and it is not received until Wednesday, Cows Milk can likely recover:

a. $3,000 in compensatory damages.

b. $10,000 in consequential damages.

c. $13,000 in compensatory and consequential damages.

d. Less than $3000, because Dairy substantially performed under the contract.

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