The Duty of an Agent to Keep His Principal Informed

question 274

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 performance
• C) of reasonable care
• D) to inform
• E) of loyalty

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Definitions:

Decentralization

Decentralization refers to the distribution of decision-making authority from a central figure or location to lower levels within an organization or government, allowing for more localized and responsive decision-making.

Decision Making

The process of identifying and choosing alternatives based on the values, preferences, and beliefs of the decision-maker.

Informal Structures

Unofficial relationships and networks within an organization that influence decision-making, communication, and relationships.

Emotional Support

Assistance provided through empathy and concern, offering comfort and reassurance to individuals who are experiencing distress.