Where a Partner Acts Without Either Actual or Apparent Authority,the

question 42

Multiple Choice

Where a partner acts without either actual or apparent authority,the partnership:

• A) cannot be bound.
• B) is bound only if it ratifies the act.
• C) is bound only if the third person did not know the partner was acting on behalf of the partnership.
• D) is bound under all circumstances,since the partner is an agent of the partnership.

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Definitions:

Barriers to Entry

Factors that prevent or hinder companies from entering a specific market or industry, including high startup costs, strict regulations, and established competition, which can protect existing firms from new entrants.

Artificial Differences

Distinctions created or imposed in a situation or between objects that do not naturally or inherently exist.

Horizontal Differentiation

A strategy where products are made different from those of competitors on aspects other than price, such as quality or features, while aimed at satisfying the same basic need.

Product Mix

The variety of products a company offers for sale to meet market demand and enhance profitability.