The Duty of an Agent to Keep His Principal Informed

question 275

Multiple Choice

The duty of an agent to keep his principal informed of all facts relevant to the agency purpose is called the duty:

• A) to account
• B) of obedience
• C) to indemnify
• D) of loyalty
• E) none of the other choices

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Definitions:

Direct Labor Hours

The total number of working hours spent by employees directly involved in the production of goods or services.

Machine Hours

A measure of the amount of time a machine is operated, used in manufacturing to allocate costs to products based on machine usage.

Hooded Jacket

A type of apparel that includes a hood attached to it, often used for casual wear or protection against weather.

Departmental Overhead Rate

A calculation used to allocate overhead costs to specific departments, based on varying bases such as labor hours or machine hours.