Identify Which Duty of Agent to Principal,if Any,is Being Breached

question 16

Essay

Identify which duty of agent to principal,if any,is being breached in the situations below.
a.X,a valued client of the agent,requests the agent to attend a land auction and to bid on a specific piece of land if it is free and clear of encumbrances and restrictions.The agent,although not knowledgeable about auctions or real estate,attends and successfully bids on the property.However,the agent did not understand the legalese contained in a brochure given each of the bidders,which stated that the property the agent obtained would be subject to a restrictive covenant restricting the development and use of the property.
b.The agent is instructed to attempt to purchase a specific piece of land and is authorized to offer up to $100 000 for same.The agent purchases the property for $85 000 and collects $95 000 from his principal,and in so doing advises the principal that the acquisition cost was $95 000.
c.The principal retains agent X due to the agent's public reputation as an outstanding tax expert and requests that the agent attend a tax inquiry to represent him.X agrees to do this but instead delegates it to a sub-agent,who unsatisfactorily represents the principal.
d.The principal instructs the agent not to pay more than $50 000 for a lot.The agent commits its principal to pay $60 000 for the lot.

Understand how predictions and expectations affect the classical conditioning process.

Explain the significance of biological predispositions in learning adaptive behaviors.

Recognize the role of mirror neurons in learning through observation.

Understand the processes and rules governing the operational dynamics of the Senate.

---

Definitions:

DuPont Formula

A method of performance measurement that breaks down return on equity into three component parts.

Investment Turnover

A measure of a company's efficiency in using its invested capital to generate revenues, often calculated as sales divided by the average invested capital.

Invested Assets

Assets that have been contributed or used by investors in the hope of generating future returns, often through interest, dividends, or appreciation in value.

Investment Center Performance

The evaluation of a unit within a company by measuring its profitability and the return on assets it controls.