An Agent's Implied Authority Can Be Inferred by the Position

question 7

True/False

An agent's implied authority can be inferred by the position the agent occupies.

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Definitions:

Accounting Equation

The fundamental equation that represents the relationship between an entity's assets, liabilities, and owner's equity; Assets = Liabilities + Owner's Equity.

Revenue Recognition Principle

An accounting principle that stipulates revenue should be recognized and recorded when it is earned, regardless of when the cash is received.

Business Entity Principle

An accounting concept that treats a business as separate and distinct from its owners for purposes of recording financial transactions.

Monetary Unit Principle

An accounting principle that assumes business transactions or events can be measured and expressed in monetary units.