CD.

1. Jodie works as an accountant for ABC Accounting, Inc. where she prepares tax returns for ABC clients. One day, a client named Mr. Kurban tells Jodie that he would rather have her prepare his taxes on her own time if she could do the work cheaper. Is it okay for Jodie to agree to do Mr. Kurban's taxes on her own rather than through ABC?

A. Yes, Jodie is free to do whatever she wants on her own time

B. No, preparing Mr. Kurban's tax returns on her own time would be a breach of Jodie's duty to ABC.

2. Mrs. Lili hired A-One Landscaping, Inc. to do some work in her yard. She carefully selected A-One because it had a good reputation in her town. While an A-One employee is working in Mrs. Lili's yard, he mistakenly trespasses onto her neighbor's yard and damages an underground water line on the neighbor's property. Later, the neighbor approaches Mrs. Lili and asks her to repair the damage. Who is primarily liable?

A. A-One is primarily liable for the damage caused by its employee.

B, Mrs. Lili is primarily liable for damage caused by her agent.

3. What does it mean to say that a principal has a duty to indemnify his agent?

A. The principal must stand behind the agent if he is sued by someone for something that happened while performing as an agent.

B. All of the above.

C. The principal must provide reasonable compensation for the agent.

D. The principal must reimburse the agent for reasonable expenses.