Theodore is selling walnuts of like grade to two buyers in the same week. After selling to the first buyer at one price, one of the major processing machines breaks down and Theodore is forced to use costlier manual labor to process the nuts for his second buyer. Which of the following is true?

• Theodore may charge a different price to the second buyer because the nuts will be of poorer quality.
• Theodore may charge a different price to the second buyer because his costs are different for the second sale.
• Theodore must charge the same price to the second buyer as the first buyer.
• It is impossible to determine which statement is true.