Which of the Following Is an Example of an Agent's

question 105

Multiple Choice

Which of the following is an example of an agent's breach of fiduciary duty to his principal?

• A)An agent for the vendor makes a profit on the transaction he negotiated for his vendor above his commission and doesn't tell his principal/vendor.
• B)An agent negotiates a higher price than the highest sale price reasonably possible at that time.
• C)The agent takes presents from the third party and passes them on to the principal.
• D)An agent for the vendor collects a commission from the purchaser but told his principal and obtained his consent.
• E)An agent discloses to his principal/vendor that he is giving some of his commission to the purchaser to induce the purchaser to sign the contract that the principal/vendor wants.

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Definitions:

Dopamine

A neurotransmitter in the brain involved in regulating mood, motivation, pleasure, and reward.

Schizophrenia

A severe mental disorder characterized by distorted thoughts, perceptions, and emotions, often manifesting as hallucinations, delusions, and disorganized speech.

Neurotransmitter

Chemical substances that transmit signals across a synapse from one neuron to another in the brain or body.

Delusions

Beliefs that are maintained strongly even when there is overwhelming evidence proving them wrong.