In a Partially Disclosed Principal Relationship,who Is Liable to the Third

question 69

Multiple Choice

In a partially disclosed principal relationship,who is liable to the third party on a contract outside the agent's authority?

• A)principal
• B)agent
• C)both a and b
• D)none of the above

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Definitions:

Hedged Date

The date on which a hedge transaction is initiated to protect against future fluctuations in value.

Foreign Exchange Hedge

A financial transaction implemented to protect an investment or business operation from adverse movements in exchange rates.

Foreign Currency Futures

Financial contracts to exchange currencies on a specified future date at a predetermined price.

Forward Exchange Contract

An agreement to exchange currency at a future date at a predetermined rate.