Chapter 5 Self-test questions

* not completed

. Which one of the following is not a type of agent authority?

Actual authority correct incorrect

Equitable authority correct incorrect

Apparent authority correct incorrect

Usual authority correct incorrect

* not completed

. For express actual authority to arise, it must be granted by deed.

True correct incorrect

False correct incorrect

* not completed

. Authority that the law deems to have been bestowed by the principal upon the agent as a result of their dealings, circumstances or relationship is known as ______ authority.

Your response

* not completed

. Which one of the following is not a form of implied actual authority?

Incidental authority correct incorrect

Usual authority correct incorrect

Customary authority correct incorrect

Ostensible authority correct incorrect

* not completed

. The phrase 'usual authority' can refer to? Please select all that apply.

A form of express actual authority correct incorrect

A form of implied actual authority correct incorrect

A form of apparent authority correct incorrect

A type of authority distinct from both actual and apparent authority correct incorrect

* not completed

. For customary authority to arise, the custom must satisfy five requirements. Identify the five requirements from the list below.

The custom must be certain correct incorrect

The custom must be reasonable correct incorrect

The custom must be equitable correct incorrect

The custom must provide business efficacy to the agency agreement correct incorrect

The custom must be notorious correct incorrect

The custom must be within the contemplation of the parties when the contract is made. correct incorrect

The custom must not conflict with the terms of the contract between the parties correct incorrect

The custom must not be unlawful correct incorrect

* not completed

. Apparent authority serves to extend the actual authority of an agent, and cannot create authority where none previously existed.

True correct incorrect

False correct incorrect

* not completed

. Apparent authority is concerned with the relationship between which two parties?

The principal and agent correct incorrect

The principal and third party correct incorrect

The agent and third party correct incorrect

* not completed

. Which one of the following is not required in order for apparent authority to arise?

A representation correct incorrect

Reliance correct incorrect

Alteration of position correct incorrect

Detriment correct incorrect

* not completed

. In order for apparent authority to arise, the representation must be made by the principal.

True correct incorrect

False correct incorrect