If an Agent Is Liable for Fraudulent Misrepresentation in Making

question 3

Multiple Choice

If an agent is liable for fraudulent misrepresentation in making a contract, the third party may rescind the contract. And if the agent was acting within his apparent authority, the third party may sue the principal as well as the agent for

• A) warranty of authority.
• B) tort of deceit.
• C) breach of contract.
• D) conspiracy to defraud.
• E) agency negligence.

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Definitions:

Step-Down Method

An allocation method used in cost accounting to assign costs in a hierarchical manner, from the highest level down to the lowest.

Personnel Department

A division within an organization responsible for managing human resources, including recruitment, employment, and workplace culture.

Cost Allocated

Cost allocated refers to the process of distributing expenses in proportion to the cost centers or departments responsible for incurring them.

Assembly Department

A section within a manufacturing facility where components are assembled into finished products.