Which of the Following Would Not Be a Factor in Determining

question 197

Multiple Choice

Which of the following would not be a factor in determining a ratification:

• A) the principal can ratify only agreements about which he has knowledge of the material facts
• B) the agent must have purported to act for of the principal and not on the agent's own behalf
• C) the third party wishes for the principal to be a party to a contract
• D) if the original agreement between the agent and third party was required by law to be in writing, ratification must also be in writing
• E) all of the other choices

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Definitions:

Specialty Retailers

Stores or businesses that focus on specific product categories, offering a narrow but deep assortment of merchandise.

Long-term Loan Agreements

Long-term Loan Agreements refer to borrowing arrangements designed to be repaid over an extended period, typically exceeding one year, used mainly for financing significant projects or acquiring assets.

Covenants

Conditions imposed in agreements, especially in loan contracts, that set forth certain actions to be performed or avoided by the borrower.

Short-term Credit Agreements

Agreements between a borrower and a lender for loans that are typically due within one year or less.