If the Principal and Agent Agree in Advance How Long

question 43

Multiple Choice

If the principal and agent agree in advance how long their relationship will last,their agreement is called?

• A)an agency at will.
• B)an agency of purpose.
• C)an express agreement.
• D)a term agreement.

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Definitions:

Maximize Profits

The strategy or process aimed at making the highest possible profit from business operations.

Total Cost

The entire cost of production, including both fixed and variable costs.

Maximize Profits

An objective of firms where they seek to achieve the highest possible financial gain from their operations, often by optimizing production and sales strategies.

Supply Function

A mathematical equation or curve that shows the relationship between the price of a good and the quantity supplied.