What is the effect of an agency relationship? Which of the following is correct?

When an agent is appointed the agent is responsible to a third party for any agreements they makeA third party with a dispute can sue an agent who in turn can sue the principal if there is a problem with the contract created by the agentThe agency relationship is an exception to the doctrine of privity of contract in that a third party can enforce an agreement made by an agent against the principalA principal will only be liable for authorised transactions made on their behalf by an agent