Holding Out Is the Phrase Used to Describe the Representation

question 23

True/False

Holding out is the phrase used to describe the representation, by a business, either by words suggestive of that relationship or by acquiescing in similar contracts made for it by that person in the past, that someone is its agent.

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Definitions:

Opportunity Costs

The cost of forgoing the next best alternative when making a decision, crucial in evaluating the true cost of any economic choice.

Law of Increasing Costs

An economic principle stating that as the production of one good increases, the opportunity cost of producing an additional unit of this good also increases, assuming all resources are fully utilized.

Capacity Utilization Rate

A measure of how efficiently a firm or economy is using its productive capacity, often expressed as a percentage of total potential output.

Full Capacity

The maximum level of output that a company can produce and supply under normal conditions.