An agent is typically either an employee of the principal or an independentcontractor. Very important legal consequences hinge on this distinction. The primarydistinction between an employee and an independent contractor isB) The official title of the agent.A) The degree of control retained or exercised by the principal over the agent.D) Whether the principal and the agent have a fiduciary relationship.OC) The nature of the contract between the principal and the agent.On May 17, Debtor Co. borrowed $100,000 from Secured Bank to finance its currentand future inventory. On May 19, Debtor authenticated a security agreement givingBank a security interest in the inventory. On the same date, Debtor alsoauthenticated a financing statement. Bank filed the financing statement on May 21and the security agreement on May 22. Bank's security interest was perfected onO A) May 17.O D) May 22.C) May 21.B) May 19. Bass, an automobile dealer, had an inventory of 40 cars and 10 trucks. He financedthe purchase of this inventory with County Bank under an agreement dated January5 that gave the bank a security interest in all vehicles on Bass's premises, all future-acquired vehicles, and the proceeds from their sale. Bass received possession of theinventory on the same date. On January 10, County Bank properly filed a financingstatement that identified the collateral in the same way that it was identified in theagreement. On April 1, Bass sold a passenger car to Dodd for family use and a truckto Diamond Company for its hardware business. Which of the following is true?A) The security agreement may not provide for a security interest in after-acquired property even if the parties so agree.D) The security interest of County Bank does not include the proceeds from thesale of the truck to Diamond Company.O B) County Bank's security interest is perfected as of January 10.C) The passenger car sold by Bass to Dodd continues to be subject to thesecurity interest of County Bank.

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An agent is typically either an employee of the principal or an independent contractor. Very important legal consequences hinge on this distinction. The primary distinction between an employee and an independent contractor is B) The official title of the agent. A) The degree of control retained or exercised by the principal over the agent. D) Whether the principal and the agent have a fiduciary relationship. OC) The nature of the contract between the principal and the agent.

An agent is typically either an employee of the principal or an independent contractor. Very important legal consequences hinge on this distinction. The primary distinction between an employee and an independent contractor is B) The official title of the agent. A) The degree of control retained or exercised by the principal over the agent. D) Whether the principal and the agent have a fiduciary relationship. OC) The nature of the contract between the principal and the agent.

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

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