An Agent That Receives Goods on Consignment from Local Sellers

question 55

Multiple Choice

An agent that receives goods on consignment from local sellers and negotiates sales in large, central markets is called a

• A) commission merchant.
• B) sales branch agent.
• C) selling agent.
• D) manufacturers' agent.
• E) broker-agent.

---

Definitions:

Preincorporation Contract

An agreement entered into on behalf of a corporation before it is legally formed.

Corporate Promoter

An individual or entity that undertakes the efforts to organize and establish a corporation, including arranging initial capital, legal requirements, and business plans.

Liable

Subject to legal responsibility or obligation, typically involving financial restitution.

Fiduciary Duty

A legal obligation of one party to act in the best interest of another party, such as a trustee's duty towards a beneficiary.