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What Type of Principal Exists When His or Her Identity

question 62

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What type of principal exists when his or her identity is not known and the third party is not aware that the agent is making an agreement on behalf of the principal?


Definitions:

Activity-Based Costing

A costing methodology that assigns overhead and indirect costs to specific activities, providing more accurate product costing.

Unit Product Cost

The total expense incurred to produce, store, and sell one unit of a product.

Traditional Costing

A costing method that allocates overhead based on a single predetermined rate.

Activity-Based Costing

A costing methodology that assigns overhead and indirect costs to specific activities, improving accuracy in product costing by identifying cost drivers.

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