If an agent acts within the scope of their authority, which of the following is true?

When an agent acts within the scope of their authority, it is the principal who is typically liable for the agent's actions. This is based on the legal principle of agency, which holds that when someone is authorized to act on behalf of another (the principal), the principal is responsible for the actions taken by the agent in the execution of their duties.

This principle serves to protect third parties who engage in transactions or interactions with agents, as they can rely on the assumption that the principal is backing the agent's actions. It encourages trust and accountability in business transactions, providing a clear understanding that the principal is liable for any authorized acts performed by the agent in the course of their duties. Thus, when agents operate within their designated authority, the responsibility falls on the principal rather than the individual agent.