An Agency Relationship

question 24

Multiple Choice

An agency relationship:

• A) exists only when it is in the form of a written document signed by both the parties.
• B) can be either compensated or uncompensated.
• C) will not exist if the parties have expressly agreed that they do not intend to create one.
• D) can be formed only by contract.

---

Definitions:

Bankruptcy Filing

The legal process by which individuals or businesses declare their inability to pay their debts, seeking relief through the restructuring of debts or the liquidation of assets.

Legal Requirements

Regulations or obligations dictated by law that must be adhered to by individuals, organizations, or businesses.

Taxed

The imposition of compulsory levies on individuals or entities by governments in order to finance government activities.

Common Form

A widespread or standard format or structure that is frequently used for certain documents or procedures.