The partners of a small accounting firm delegate responsibilities among themselves for various duties. Davis is responsible for professional development. After reserving a banquet room and food for a seminar at which a leading tax accountant will speak, Davis learns on the eve of the seminar that the guest cannot attend. The firm is liable for the banquet cancellation charge.

Question

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The firm is liable for the banquet cancellation charge because Davis, a partner, entered into the contract for the seminar on behalf of the firm, and partners have the authority to bind the firm in contracts related to the firm's business operations.

The Partners of a Small Accounting Firm Delegate Responsibilities Among