Olivia Is Physicians Clinic Agent and Is Not Authorized to Sign

question 24

Multiple Choice

Olivia is Physicians Clinic agent and is not authorized to sign checks or notes on its behalf. Despite the lack of authority, Olivia issues a note "payable to the order of Loan Company [signed] Physicians Clinic, by Olivia." Liability on this note extends to​

• A) ​Physicians Clinic.
• B) ​Olivia.
• C) ​Loan Company.
• D) ​no one.

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Definitions:

Decision-Making Process

The cognitive process of selecting a course of action from among multiple alternatives, often involving a structured methodology.

Departmentalization

The organizational practice of dividing a business into specialized functional areas or departments to improve efficiency.

Span of Control

It refers to the number of subordinates that a manager or supervisor can directly control.

First-Line Managers

Managers at the lowest level of an organization who directly supervise and support the work of non-managerial employees.