Which of the Following Is True with Regard to Contractual

question 10

Multiple Choice

Which of the following is true with regard to contractual relations between the principal and a third party?

• A) An undisclosed principal and the third party are contractually bound if the agent acts within her actual authority, unless the contract specifies otherwise.
• B) An unidentified principal is bound only if the agent acts within the scope of actual authority.
• C) There is no liability on the part of the principal if the agent acts with implied authority.
• D) A principal cannot be bound if the agent acts without any authority.

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Definitions:

Mental Images

are representations in a person's mind of the physical world outside of that person, which can include visual, auditory, or other sensory experiences.

Imagery

Mental pictures; a powerful aid to effortful processing, especially when combined with encoding.

Typewriter

A mechanical or electromechanical machine for writing characters similar to those produced by printer's movable type, typically by means of keys struck by the operator.

Inherent

Existing as a natural or essential part of something.