B is corrent. Implied authority is authority that can be reasonably implied from actual authority and from the conduct of the principal. In a general partnership, the general partners usually have authority to buy and sell goods, receive money, and pay debts of the partnership. In this case, Acorn did not have actual authority to buy the tractors from Cobb. Therefore, there is no implied authority which comes from actual authority. However, the partnership is a farm machinery business, in which a general partner would have apparent authority to purchase tractors since Cobb was unaware of the limitation on authority and tractors are related to the partnership business. A is incorrect. Implied authority is authority that can be reasonably implied from actual authority and from the conduct of the principal. In a general partnership, the general partners usually have authority to buy and sell goods, receive money, and pay debts of the partnership. In this case, Acorn did not have actual authority to buy the tractors from Cobb. Therefore, there is no implied authority which comes from actual authority. However, the partnership is a farm machinery business, in which a general partner would have apparent authority to purchase tractors since Cobb was unaware of the limitation on authority and tractors are related to the partnership business. A is incorrect. Implied authority is authority that can be reasonably implied from actual authority and from the conduct of the principal. In a general partnership, the general partners usually have authority to buy and sell goods, receive money, and pay debts of the partnership. In this case, Acorn did not have actual authority to buy the tractors from Cobb. Therefore, there is no implied authority which comes from actual authority. However, the partnership is a farm machinery business, in which a general partner would have apparent authority to purchase tractors since Cobb was unaware of the limitation on authority and tractors are related to the partnership business. D is incorrect. Implied authority is authority that can be reasonably implied from actual authority and from the conduct of the principal. In a general partnership, the general partners usually have authority to buy and sell goods, receive money, and pay debts of the partnership. In this case, Acorn did not have actual authority to buy the tractors from Cobb. Therefore, there is no implied authority which comes from actual authority. However, the partnership is a farm machinery business, in which a general partner would have apparent authority to purchase tractors since Cobb was unaware of the limitation on authority and tractors are related to the partnership business.
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