Which of the Following Is True About Implied Authority

question 58

Multiple Choice

Which of the following is true about implied authority?

• A)It is the sole determinant of a partner's actual authority.
• B)It is determined with reference to what is usual business for partnerships of the same general type.
• C)It exists because it reasonably appears to a third party that a partner has authority to do an act.
• D)It may contradict a partner's express authority.

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Definitions:

Capital

Capital refers to financial assets or the financial value of assets, such as funds held in deposit accounts, as well as the physical factors of production – namely, machinery, buildings, and land.

Expected Profit Rate

The forecasted rate of return on an investment or business venture, based on estimated earnings.

Gross Domestic Product (GDP)

The complete value, in monetary or market terms, of all the goods and services that are finalized within the territorial boundaries of a country within a particular period.

Investment

Allocating financial assets in hopes of achieving a return or profit.