________ Is the Authority the Principal Wants the Agent to Possess

question 13

Multiple Choice

________ is the authority the principal wants the agent to possess and is based on the principal's communications or manifestations to the agent.

• A)Apparent authority
• B)Actual authority
• C)Incidental authority
• D)Traditional authority

---

Definitions:

ESOs

Employee Stock Options (ESOs) are a form of equity compensation granted by companies to employees, allowing them to purchase company shares at a fixed price for a certain period.

Call Options

Financial derivatives that give the holder the right but not the obligation to buy a specific stock or asset at a predetermined price within a specified period.

American Call Option

An options contract that allows the holder to buy the underlying asset at a specified price at any time before or on the expiration date.

Variance

A statistical measure that represents the dispersion of data points in a data set around the mean, indicating how spread out the data is.