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:

MRC

Marginal Revenue Cost, often used interchangeably with Marginal Cost, refers to the increase in cost associated with producing one additional unit of output.

Profitable

The condition of earning more revenue than the costs incurred, leading to a financial gain or profit for the individual or organization.

Innovation

The first commercially successful introduction of a new product, use of a new method of production, or creation of a new form of business organization.

Invention

The conception of a new product or process combined with the first proof that it will work.