____ Is When an Agency Is Created Because the Actions

question 54

Multiple Choice

____ is when an agency is created because the actions of the principal may lead one to reasonably believe that the presumed agent has the authority to act for the principal.

• A) Agency by estoppel
• B) Agency by permission
• C) Agency by ratification
• D) Agency by demand
• E) Agency by practicality

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Definitions:

Average Cost

A measure of the total cost of production divided by the number of units produced, used to calculate the cost per unit.

Industry Demand

The total demand for the products or services provided by a specific industry, represented as the sum of individual demands within a market.

Perfect Competition

A market structure characterized by many buyers and sellers, homogeneous products, and no barriers to entry or exit, leading to efficient pricing and output decisions.

Monopoly

A market structure characterized by a single seller, selling a unique product in the market with no close substitutes, leading to high control over market prices.