The Owner of Oasis Store Regularly Sends Miguel,one of His

question 8

Multiple Choice

The owner of Oasis Store regularly sends Miguel,one of his employees,to act on behalf of the store and obtain goods from Polar Inc.,a local retail outlet.A few months later the store owner terminates Miguel,but fails to notify Polar Inc.about the termination.Miguel buys goods from Polar,and Polar charges Oasis for the purchases made.This liability is a result of ______.

• A) apparent authority
• B) implied authority
• C) expressed authority
• D) actual authority
• E) written authority

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Definitions:

Adverse Selection

A situation in which one party in a transaction has more or better information than the other, often leading to inefficiencies.

Market Wage

The prevailing wage rate for labor in a particular market, influenced by supply and demand.

Pairwise Majority Voting

A voting system in which each option is compared head-to-head with every other option, and the option that wins the most comparisons is selected.

Transitivity

The concept in mathematics and logic that if relation "A" is related to "B", and "B" is related to "C", then "A" is related to "C".