FINAL MILESTONE SOPHIA BUSINESS LAW
CERTIFICATION EVALUATION EXAMS 2026
COMPLETE QUESTIONS AND ANSWERS 100%
CORRECT
◉ Intoxicated Persons. Answer: If a person is so intoxicated that
they do not understand the nature of the contract, it is voidable.
◉ Mentally Incompetent Person. Answer: If a person has not been
declared incompetent by a court but lacks the capacity to
understand the agreement, they can void the contract.
◉ Principal. Answer: The person, business owner, or entity who
delegates authority to another to act on their behalf.
◉ Agent. Answer: The person or entity authorized to act, perform
services, or make decisions on behalf of the principal.
◉ Notice of Agency Termination. Answer: A formal communication
that ends the fiduciary relationship between a principal and an
agent.
, ◉ Ratification of Agent's Acts. Answer: Affirming them, either
expressly or implicitly through conduct that shows acceptance.
◉ Bailment. Answer: The temporary transfer of possession of
personal property from the owner to another party for a specific
purpose.
◉ Bailor. Answer: The owner or entity who delivers the property to
another.
◉ Bailee. Answer: The party who receives and holds possession of
the property temporarily.
◉ Mutual Benefit Bailment. Answer: Both parties benefit, typically
involving compensation.
◉ Sole Benefit of Bailor. Answer: The bailee acts for free to help the
bailor.
◉ Sole Benefit of Bailee. Answer: The bailor lends property for the
bailee's use without charge.
CERTIFICATION EVALUATION EXAMS 2026
COMPLETE QUESTIONS AND ANSWERS 100%
CORRECT
◉ Intoxicated Persons. Answer: If a person is so intoxicated that
they do not understand the nature of the contract, it is voidable.
◉ Mentally Incompetent Person. Answer: If a person has not been
declared incompetent by a court but lacks the capacity to
understand the agreement, they can void the contract.
◉ Principal. Answer: The person, business owner, or entity who
delegates authority to another to act on their behalf.
◉ Agent. Answer: The person or entity authorized to act, perform
services, or make decisions on behalf of the principal.
◉ Notice of Agency Termination. Answer: A formal communication
that ends the fiduciary relationship between a principal and an
agent.
, ◉ Ratification of Agent's Acts. Answer: Affirming them, either
expressly or implicitly through conduct that shows acceptance.
◉ Bailment. Answer: The temporary transfer of possession of
personal property from the owner to another party for a specific
purpose.
◉ Bailor. Answer: The owner or entity who delivers the property to
another.
◉ Bailee. Answer: The party who receives and holds possession of
the property temporarily.
◉ Mutual Benefit Bailment. Answer: Both parties benefit, typically
involving compensation.
◉ Sole Benefit of Bailor. Answer: The bailee acts for free to help the
bailor.
◉ Sole Benefit of Bailee. Answer: The bailor lends property for the
bailee's use without charge.
