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:

Conceptual Component

The aspect of understanding that involves the mental processes of grasping ideas, principles, and theories.

Interpersonal Communication

The process of exchanging information, feelings, and meaning between two or more people through verbal and/or non-verbal methods.

Emotional Dimensions

Aspects of experiences that involve feelings, mood, and affective states, affecting personal and social behavior.

Psychological Defenses

Mental processes that protect individuals from unacceptable thoughts or feelings.