A Principal Is Not Bound to an Unauthorized Contract Unless

question 64

True/False

A principal is not bound to an unauthorized contract unless the principal ratifies it.​

---

Definitions:

Cost Drivers

Factors that cause a change in the cost of an activity, used in activity-based costing to allocate costs based on the actual consumption of each activity.

Vocational School

An educational institution that focuses on teaching students specific trade skills or vocations rather than providing a general academic education.

Planning Budget

A budget prepared for a specific level of activity; it outlines expected revenues, expenses, and other financial parameters for a future period.

Students

Individuals enrolled in a course of study at educational institutions.