Which of the Following Is Correct with Regard to a Contract

question 32

Multiple Choice

Which of the following is correct with regard to a contract entered into with a third person by an agent of an undisclosed principal?

• A) The agent has no liability to the third person if the agent has acted within the scope of her authority.
• B) The agent is personally liable upon the contract.
• C) The undisclosed principal has no liability on the contract, even if her existence and identity are discovered by the third person.
• D) If the third party obtains a judgment against the principal and the judgment is satisfied, the agent may still have liability to that third party.

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Definitions:

Interaction Variables

Variables that modify the relationship between other variables in the context of statistical analysis, showing how the effect of one variable depends on the level of another variable.

Dependent Variable

A variable in research that is expected to change as a result of manipulations in the independent variable.

Independent Variable

A variable that is manipulated in an experiment to determine its effect on the dependent variable.

Cause-and-Effect Relationship

A connection between two events where one (the cause) directly results in the occurrence of the other (the effect).