Question

On February 1, Year 1, Grand Corp., a manufacturer of custom cabinets contracted in writing with Axle Co., a kitchen contractor, to sell Axle 100 unique custom-designed kitchen cabinets for $350,000. Axle had contracted to install the cabinets in a luxury condominium complex. The contract provided that the cabinets would be ready for delivery by April 15 and were to be shipped F.O.B. sellers loading dock.

On April 15 Grand had 85 cabinets completed and delivered them, together with 15 standard cabinets, to the trucking company for delivery to Axle. Grand faxed Axle a copy of the shipping invoice, listing the 15 standard cabinets

On May 1, before reaching Axle, the truck was involved in a collision and all the cabinets were damaged beyond repair.

For each question, double-click on the shaded cells and select the appropriate answer from the choices provided.

Entities Characteristics 1. What term best describes the contract between Grand and Axle? 2. Which of the following is correct regarding risk of loss for the custom cabinets? 3. Which of the following is correct regarding the validity of the contract between Grand and Axle? 4. What was the effect of Grand's shipment of 15 standard cabinets? 5. Had the cabinets been delivered, when would title have transferred to Axle? 6. Which of the following is correct regarding Axle's rights for Grand's shipment of the cabinets?

Can please some1 help with this.

Thank you,

**UPDATE** THESE OPTIONS PROVIDED ARE OPTIONS FOR ALL 6 QUESTIONS. Thank you,

Answer 1

1 Shipment contract

2 Shipment contract

3 Shipment contract

4 Consignment Contract

5 Shipment contract

6 Shipment contract

FOB origin (seller's dock) is shipment contract in which seller is liable only till loading from seller's dock. Rest shipment risks lie with Buyer.

Note - There should be seperate answer options else answer will remain always shipment contract for custom cabinets.