What Is the Principal's Duty When His Agent Makes Express

question 79

Multiple Choice

What is the principal's duty when his agent makes express or implied authorized expenditure while acting on his behalf?

• A)Duty to compensate
• B)Duty to take care
• C)Duty of accounts
• D)Duty to reimburse

Identify and calculate variable, fixed, and mixed costs.

Apply the high-low method to determine variable costs per unit and fixed costs.

Calculate contribution margin, contribution margin ratio, and its significance.

Analyze the impact of price changes on break-even points and profitability.

---

Definitions:

Warranty Costs

Expenses incurred due to fulfilling warranty claims, including repairs, replacements, and service costs associated with guaranteeing the product's performance.

Managerial Time

The allotment and management of time by individuals in managerial positions to achieve organizational objectives effectively.

Assignable Causes

Factors or variables that can be identified and controlled, explaining variations in a process or system.

Statistical Process Control

A method of quality control that uses statistical methods to monitor and control a process, helping to ensure that it operates at its full potential.