1) A principal is bound in contract with the third party with whom the agent dealt if the agent is:

A) within his or her implied authority.

B) within his or her express authority.

C) within his or her apparent authority.

D) outside his or her authority but the principal ratified it.

E) all of the above

2) In a franchise arrangement, one business enters into a contract with another to sell its products exclusively. Which of the following is true with respect to a franchise?

A) The franchisee provides the technical expertise to manage the franchise.

B) The franchisor must comply with rules, standards, and specifications with respect to products and prices.

C) Examples of franchises in Canada include Tim Hortons, KFC, and Budget Car Rental.

D) An advantage of a franchise arrangement is the equal bargaining position of the parties.

E) The franchisee and franchisor are in partnership together.

3) A periodic lease means:

A) a lease in which the parties agree to no set termination date but to the rental period being automatically renewed.

B) a term lease

C) a lease created when a tenant is over-holding after the termination date of his lease without the landlord's permission.

D) a tenancy created when an owner of property allows a purchaser to take possession before title transfers to him.

E) a lease granting the lessee exclusive possession for one year.

4) Which of the following is not considered real property?

a) A house

b) A car

c) A plot of land

d) A commercial building

5) What is the difference between joint tenancy and tenancy in common?

a) In joint tenancy, each owner has an equal share of the property, while in tenancy in common, each owner has a specific share of the property.

b) In joint tenancy, each owner has a specific share of the property, while in tenancy in common, each owner has an equal share of the property.

c) Joint tenancy and tenancy in common are the same thing.

d) In joint tenancy, only one owner has the right to possess the property, while in tenancy in common, all owners have the right to possess the property.