The Agent Must Pass on to the Principal

question 46

Multiple Choice

The agent must pass on to the principal:

• A)All information they learn during the period they are acting as an agent that a reasonable person would think to be of interest to the principal.
• B)All money acquired during the period they are acting as an agent.
• C)All money paid by the third party including any commission payable by the principal to the agent.
• D)All information they learn during the period they are acting as an agent.

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Definitions:

Competition-Based Concept

A pricing strategy where the prices are determined based on what competitors are charging for similar products or services.

Price Setting

The process by which businesses determine the selling price of their products or services, taking into account factors like costs, market demand, and competition.

Differential Analysis

An approach to decision making that focuses on the costs and benefits that change between decision alternatives.

Income Change

A variation in the amount of earnings a business generates over a period.