Richard Writes a Letter to Sarah Authorizing Her to Sell

question 30

Multiple Choice

Richard writes a letter to Sarah authorizing her to sell his car and sends a copy of the letter to Timothy,a prospective purchaser.If the next day Richard sends a letter to Sarah revoking her authority,but he fails to notify Timothy,Sarah:

• A) has actual authority to sell the car to Timothy.
• B) has implied authority to sell the car to Timothy.
• C) has apparent authority with respect to Timothy to sell the car.
• D) is empowered under the doctrine of respondeat superior to negotiate the contract.

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Definitions:

Containment Doctrine

A foreign policy strategy adopted by the United States during the Cold War aiming to prevent the spread of communism by providing political, military, or economic assistance to threatened nations.

Marshall Plan

A U.S.-initiated program aimed at the economic recovery of war-torn Europe post World War II, through significant financial aid and rebuilding efforts.

Western Europe

A region comprising the western part of Europe, known for its advanced economies, democratic institutions, and historical influence on global affairs.

Economic Integration

The unification of economic policies between different states through the partial or full abolition of tariff and non-tariff restrictions on trade taking place among them.