Asked by Alexandra Rosen on May 09, 2024

verifed

Verified

Edward is hired to manage Fred's business. Which of the following is untrue regarding Edward's authority?

A) Edward has authority to sell a used cash register when he buys a new computerized checkout system for the store.
B) Edward has authority to send bills to customers and to accept payments on behalf of Fred.
C) Edward can hire employees, but he cannot fire them without Fred's consent.
D) Edward can enter into contract with wholesalers for merchandise in the store.

Authority to Sell

The legal power granted, usually to an agent, to transfer the ownership of property from the seller to the buyer.

Computerized Checkout

A system used in retail stores for completing sales transactions electronically, typically involving scanning items and automatic calculation of total price.

Contract with Wholesalers

An agreement between a producer and entities that buy products in bulk, intending to distribute them further.

  • Discriminate amongst express, actual, and implied authorizations of an agent.
verifed

Verified Answer

CA
Charles AustriaMay 13, 2024
Final Answer :
C
Explanation :
Edward, as a manager, typically has the authority to both hire and fire employees as part of managing the business, unless specifically restricted by Fred.