Which of the Following Is True Regarding an Agent's Liability

question 64

Multiple Choice

Which of the following is true regarding an agent's liability when a third party obtains a judgment against a previously undisclosed principal?

• A)The agent is freed from liability to the third party.
• B)The agent remains liable to the third party.
• C)The agent is freed from liability to the third party unless the principal refuses to pay.
• D)The agent is freed from liability to the third party unless the principal files for bankruptcy.
• E)The agent is freed from liability to the third party unless a contract for personal service was involved.

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Definitions:

Utility Function

A mathematical representation that assigns a level of utility or satisfaction to combinations of goods and services consumed.

Utility Function

A mathematical representation that captures preferences over a set of goods and services by assigning a utility value to each possible bundle.

Goods Y

A placeholder term often used in economics to refer to a specific category of goods under discussion or analysis, contrasting with another category labeled "Goods X".

Indifference Curves

Graphical representations in economics showing combinations of goods that give the consumer equal satisfaction and utility.