The Most Important Duty of the Principal Toward His Agent

question 30

Multiple Choice

The most important duty of the principal toward his agent is to:

• A) indemnify the agent for expenses incurred within the scope of the agency.
• B) compensate the agent according to the terms of the contract.
• C) maintain a relationship of trust and confidence.
• D) act with reasonable skill and care.

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Definitions:

Insight

A sudden realization or understanding of a problem's solution, often occurring after a period of contemplation or thinking from a different perspective.

Heating Vent

A component of a heating, ventilation, and air conditioning (HVAC) system that distributes warm air throughout a space to maintain a desired climate.

Juice Glass

A small glass designed for serving juice, typically holding 4 to 6 ounces of liquid.

Risky Decision Making

The process of making choices under uncertainty, with the potential for negative outcomes.