5-3: Case Questions and Problems (Total = 60 points (10 points/Question)) Action Items 1. Read Chapters 20 and 21 in your text. 2. Complete case questions and problems as assigned by your professor (posted under the Announcements section of the course). 3. By the due date indicated, submit your assignment. 1. Creation of an Agency Relationship Explain the two circumstances for the creation of an agency relationship 2. Business Relationships a. What are the three business relationships? b. How do you identify them? c. Significant for what issues? 3. Employee versus Independent Contractor a. Identify the criteria that determine employees versus independent contractors. b. Provide a summary of a court ruling that applied the employee versus independent contractor concept. Provide the citation for the case. 4. Duties of an Agency Relationship a. Define the summary of duties of the principal to the agent. b. Define the summary of duties of the agent to the principal. 5. Authority of an Agent a. Identify the different types of authority to the agent. b. Why is it important to identify the type of an agent's authority? c. Provide a summary of a court ruling that applied the legal concept of authority. Provide the citation for the case. 6. Types of Partnerships Describe each of the following: a. general partnership b. limited partnership c. limited liability partnership