If a Principal Ratifies a Contract Without Knowing All of the Facts,the

question 3

True/False

If a principal ratifies a contract without knowing all of the facts,the principal can rescind the contract.

---

Definitions:

Market Price

The present cost at which a service or asset is available for purchase or sale in the market.

Common Stock

Represents ownership shares in a corporation, giving holders voting rights and a share in the company's profits through dividends.

Return On Equity

A financial ratio indicating the profitability of a company in relation to shareholders' equity, showing how effectively a company uses investments to generate earnings growth.

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time, showing the company's financial position.