In the principal-agent relationship, the agent is

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In the principal-agent relationship, the agent is typically the person who is put in control of some resources (such as money, property, or decision-making power) that belong to someone else, with an obligation to use those resources in the best interests of the owner. This is what is meant by being an "agent" - acting on behalf of someone else. Option A is incorrect because it suggests that the agent owns the resources being used; option C is incorrect because it suggests that the agent is compensating the resource owner for poor outcomes rather than being compensated by the resource owner for their services; option D is somewhat accurate but not as clear as option B, which specifically references the principal-agent relationship.

In the Principal-Agent Relationship, the Agent Is