solution

J is a retail apple seller that likes to have his “J brand” sticker on the apples before he sells them in his stores. K is a wholesale seller of apples. On Tuesday, J makes an agreement with K to buy a certain truckload of apples. Although the weight is not known, the price of the apples to be bought is agreed at $1 per pound. As part of the agreement, K also promises to put the “J brand” stickers on all of the apples. J will then come and pick them up and bring them to his stores.

That same evening, K phones up J to inform J that there are 450 pounds of apples. J replies in agreement that the total contract price is now known to be $450. J does an e-transfer of money to pay K for the apples, and asks K if the stickers have been put on the apples yet. K replies, “Not yet, but we’ll do this on Wednesday morning.”

Overnight and before Wednesday morning, there is a fire at K’s wholesale business and the 450 pounds of apples are destroyed. When J found out about this, J demanded that K provide alternative apples or refund J’s $450. K replies “Sorry, but those were your apples that burned, not mine”.

Who must bear the loss for the destroyed apples, J or K?

Please answer it in IRAC format