Question 1

An agent has the implied authority to do what is reasonably necessary to carry out express authority.

Accepted Answer

A) True 
 B)False

Question 2

An agency relationship created for an illegal purpose is enforceable.

Accepted Answer

A) True 
 B)False

Question 3

A power of attorney can permit an agent to transact all business for a principal.

Accepted Answer

A) True 
 B)False

Question 4

Vida is a purchasing agent for Wholesome Foods with the authority to buy grain up to a certain quantity.After the grain is bought,the agency relationship terminates

Accepted Answer

A)   ​automatically. 
B)   ​following notice to all actual grain sellers. 
C)   ​following notice to all potential grain sellers. 
D)   ​following published notice in a local newspaper.

Question 5

Mirena serves in a representative capacity for Netanya.Orla is injured through Mirena's negligence.Netanya may be liable to Orla if Mirena's conduct occurred

Accepted Answer

A)   ​due to a propensity Netanya was not and could not have been aware of. 
B)   ​during normal working hours. 
C)   ​in the course and scope of Mirena's employment. 
D)   ​outside the parties' employment relationship.

Question 6

A principal's ratification of an agent's unauthorized act must be express.

Accepted Answer

A) True 
 B)False

Question 7

If a principal does not ratify an unauthorized contract,the principal is not bound.

Accepted Answer

A) True 
 B)False

Question 8

The relationship between a principal and an independent contractor cannot involve an agency relationship.

Accepted Answer

A) True 
 B)False

Question 9

Limon,an agent for Mindwonder Games LLC,executes an unauthorized contract with NOW Marketing,Inc.The deal is highly advantageous to Mindwonder,and the company ratifies the contract.The contract is

Accepted Answer

A)   ​valid. 
B)   ​vicarious. 
C)   ​void. 
D)   ​voidable.

Question 10

Watercraft,Inc.,employs Vladimir as a sales agent for a trial period.At the end of the period,Watercraft and Vladimir disagree on the amount of the commissions Vladimir is due for sales that he made.Vladimir may demand

Accepted Answer

A)   ​a constructive trust. 
B)   ​an accounting. 
C)   ​nothing. 
D)   ​specific performance.

Question 11

Independent contractors have no control over the details of their work performance.

Accepted Answer

A) True 
 B)False

Question 12

Jim agrees to act on Kit's behalf,subject to Kit's control,and Kit trusts Jim to so act.This describes a relationship between

Accepted Answer

A)   ​a business and its competitors. 
B)   ​a government and its governed. 
C)   ​a parent and a child. 
D)   ​a principal and an agent.

Exam 26: Agency

If a principal does not ratify an unauthorized contract,the principal is not bound.

Correct Answer
verified

Vida is a purchasing agent for Wholesome Foods with the authority to buy grain up to a certain quantity.After the grain is bought,the agency relationship terminates

Correct Answer
verified

A power of attorney can permit an agent to transact all business for a principal.

Correct Answer
verified

A principal's ratification of an agent's unauthorized act must be express.

Correct Answer
verified

Jim agrees to act on Kit's behalf,subject to Kit's control,and Kit trusts Jim to so act.This describes a relationship between

Correct Answer
verified

An agency relationship created for an illegal purpose is enforceable.

Correct Answer
verified

The relationship between a principal and an independent contractor cannot involve an agency relationship.

Correct Answer
verified

Independent contractors have no control over the details of their work performance.

Correct Answer
verified

Watercraft,Inc.,employs Vladimir as a sales agent for a trial period.At the end of the period,Watercraft and Vladimir disagree on the amount of the commissions Vladimir is due for sales that he made.Vladimir may demand

Correct Answer
verified

Limon,an agent for Mindwonder Games LLC,executes an unauthorized contract with NOW Marketing,Inc.The deal is highly advantageous to Mindwonder,and the company ratifies the contract.The contract is

Correct Answer
verified

Mirena serves in a representative capacity for Netanya.Orla is injured through Mirena's negligence.Netanya may be liable to Orla if Mirena's conduct occurred

Correct Answer
verified

An agent has the implied authority to do what is reasonably necessary to carry out express authority.

Correct Answer
verified

Exam 26: Agency

If a principal does not ratify an unauthorized contract,the principal is not bound.

Correct AnswerverifiedShow Answer

Vida is a purchasing agent for Wholesome Foods with the authority to buy grain up to a certain quantity.After the grain is bought,the agency relationship terminates

Correct AnswerverifiedShow Answer

A power of attorney can permit an agent to transact all business for a principal.

Correct AnswerverifiedShow Answer

A principal's ratification of an agent's unauthorized act must be express.

Correct AnswerverifiedShow Answer

Jim agrees to act on Kit's behalf,subject to Kit's control,and Kit trusts Jim to so act.This describes a relationship between

Correct AnswerverifiedShow Answer

An agency relationship created for an illegal purpose is enforceable.

Correct AnswerverifiedShow Answer

The relationship between a principal and an independent contractor cannot involve an agency relationship.

Correct AnswerverifiedShow Answer

Independent contractors have no control over the details of their work performance.

Correct AnswerverifiedShow Answer

Watercraft,Inc.,employs Vladimir as a sales agent for a trial period.At the end of the period,Watercraft and Vladimir disagree on the amount of the commissions Vladimir is due for sales that he made.Vladimir may demand

Correct AnswerverifiedShow Answer

Limon,an agent for Mindwonder Games LLC,executes an unauthorized contract with NOW Marketing,Inc.The deal is highly advantageous to Mindwonder,and the company ratifies the contract.The contract is

Correct AnswerverifiedShow Answer

Mirena serves in a representative capacity for Netanya.Orla is injured through Mirena's negligence.Netanya may be liable to Orla if Mirena's conduct occurred

Correct AnswerverifiedShow Answer

An agent has the implied authority to do what is reasonably necessary to carry out express authority.

Correct AnswerverifiedShow Answer

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