Which of the Following Would Be Considered a Principal in the Principal-Agent

question 59

Multiple Choice

Which of the following would be considered a principal in the principal-agent relationship?

• A) A stockbroker in an investment arrangement.
• B) A real estate agent for someone buying a house.
• C) A customer leasing a car.
• D) An employer hiring an employee.

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Definitions:

Muscle Tension

The condition of muscles being partially contracted for an extended period, often as a response to stress or physical exertion.

Sedatives

Sedatives are a category of drugs that slow brain activity, used to relax, calm, or induce sleep, often prescribed for anxiety or insomnia.

Depressant

A substance that reduces the functioning of the central nervous system, often leading to decreased awareness, judgement, and body movement.

Motor Coordination

The ability to use different parts of the body together smoothly and efficiently to perform movements.