Which of the Following Is Not True of Ratification

question 23

Multiple Choice

Which of the following is not true of ratification?

• A)It may be express.
• B)It may be implied.
• C)It may take place before the act to be ratified has occurred.
• D)A new company ('the principal') can ratify acts made by its founders ('the agents') before the company came into existence.

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Definitions:

Transaction Cost

Expenses incurred when buying or selling goods or services, beyond the price of the goods or services themselves.

Specialized Resources

Resources uniquely suited or trained to perform specific tasks or functions within an economic system, enhancing efficiency and productivity.

Opportunity Cost

The financial loss associated with rejecting the subsequent optimal choice in any decision-making scenario.

Specialized Tools

Equipment or instruments designed for specific tasks or professions, enhancing efficiency and precision.