Apparent Authority in an Agency Relationship Arises When the Principal

question 117

True/False

Apparent authority in an agency relationship arises when the principal causes the agent to reasonably believe that he or she has the authority to act.

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Definitions:

Kohlberg

A theorist known for his work on moral development, particularly the stages of moral reasoning.

Preconventional

The first level of Kohlberg's stages of moral development, where an individual's moral reasoning is based primarily on the consequences of actions and compliance with rules to avoid punishment or gain rewards.

Moral Development

The process through which individuals develop proper attitudes and behaviors toward other people in society, based on social and cultural norms, rules, and laws.

Postconventional Level

A stage of moral development in which individuals' moral reasoning is based on internal principles, and societal rules are questioned rather than followed blindly.