When a Principal Creates an Impression of Authority in an Agent

question 78

Multiple Choice

When a principal creates an impression of authority in an agent that leads a third party to conclude that the agent has authority to act for the principal, the agent is said to have:

• A) implied authority
• B) express authority
• C) actual authority
• D) apparent authority
• E) none of the other choices

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Definitions:

Nonunion Workers

Employees who are not members of a labor union and therefore may lack certain protections or benefits that unionized workers enjoy.

Strike Fund

A pool of money set aside by labor unions to support workers during a strike, helping to cover lost wages and other expenses.

Best Bargain

Refers to the most advantageous deal available in terms of price, quality, or both, offering exceptional value for the buyer.

Dealer Accept

A situation where a dealer or retailer agrees to take on a product for sale or acknowledges terms in a contractual agreement.