Which of the Following Is True of General Agents and Special

question 80

Multiple Choice

Which of the following is true of general agents and special agents?

• A)General agents have the power to bind the principal by their actions,while special agents do not.
• B)A general agent is employed to conduct a series of transactions,while a special agent is employed to conduct a small,simple group of transactions.
• C)Special agents are gratuitous agents,i.e. ,they are not paid by the principal,while general agents receive consideration for their services.
• D)General agents can appoint subagents to carry out the principal's tasks,while special agents cannot.

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Definitions:

Probable Future Sacrifices

The expected relinquishment of assets as a result of obligations.

Liabilities

Economic obligations or debts owed by a business to others, typically arising in the course of its operations.

Economic Benefits

Benefits that can be quantified in monetary terms and usually include profits, revenues, and savings.