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.​

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Definitions:

Reported

The act of declaring or disclosing income, transactions, or other financial information to tax authorities.

Income Recognition

The accounting principle that determines the specific conditions under which income becomes taxable.

Receipt

A receipt is a document acknowledging that a person has received money or property in payment following a sale or other transfer of goods or provision of a service.

Form 1099-INT

A tax form used to report interest income earned from banks, savings accounts, or other financial institutions during the tax year.