A ________ relationship is created if the deposit is a check that the bank must collect for the customer or the customer writes a check against his or her account.

Question

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A principal-agent relationship is created in both scenarios: when the bank collects a check on behalf of the customer, the bank acts as the agent of the customer (the principal), and when the customer writes a check against their account, the bank again acts as the agent by fulfilling the customer's instructions to pay.

A ________ Relationship Is Created If the Deposit Is a Check