|Chen is an accountant and he is skilled in preparing budgets and cash flow statements for new businesses. He is hired by four former University friends to prepare budgets and cash flows for a new company that is to be set up by these four friends. Chen goes to the printer and orders stationery for the new company and signs on behalf of the would be incorporated company. The new company. Comrades Pty Ltd. is formed. but it does not pay for the stationery ordered by Chen. 1Who is liable to pay for the stationery? {7 marks}