An agent appoints a subagent. According to the law of agency,

A. An agent has inherent authority to appoint subagents.
B. The principal's intention to permit an agent to delegate authority may be indicated by the character of the business.
C. A subagent may bind the principal even if his or her appointment was not authorized.
D. If appointment of the subagent was authorized, the subagent owes a fiduciary duty to the agent but not the principal.

Answer: B. The principal's intention to permit an agent to delegate authority may be indicated by the character of the business.

Business

You might also like to view...

The budgeted income statements of both manufacturing and merchandising companies include the calculation of gross profit

Indicate whether the statement is true or false

Business

A mortgagor is the one who

A) gives a mortgage. B) holds a mortgage. C) provides mortgage funds. D) forecloses on a mortgage.

Business