Information which comes to the knowledge of an agent is:

a) required to be communicated to the principal in all circumstances.

b)is imputed to the principal.

c) can be disclosed to the principal only with the third party's consent.

d) will result in termination of the agency arrangement if it is not communciated to the principal.

I think it will be a. What would you think?

I agree with your answer -- a.

To arrive at the answer, it is necessary to understand the concept of agency and the relationship between the agent and the principal.

In an agency relationship, the agent acts on behalf of the principal and has the authority to represent the principal in certain transactions. As part of this relationship, the agent acquires information that is relevant to the principal's interests.

According to option a, the information acquired by the agent is required to be communicated to the principal in all circumstances. This means that regardless of the nature or sensitivity of the information, the agent has a duty to inform the principal.

On the other hand, options b, c, and d present alternative scenarios that do not reflect the general principles of agency.

Option b suggests that the information is automatically imputed to the principal. However, this is not necessarily true. Imputing the information means that the principal is deemed to have knowledge of it, regardless of whether the agent explicitly communicates it.

Option c states that the information can be disclosed to the principal only with the third party's consent. This is not a general requirement, as the agent should have the ability to communicate relevant information to the principal without being bound by the consent of a third party.

Option d implies that failure to communicate the acquired information would result in the termination of the agency arrangement. While there may be consequences for failing to disclose relevant information, termination is not always the automatic outcome.

Thus, after analyzing the options, it is evident that option a is the most appropriate answer. The acquired information is required to be communicated to the principal in all circumstances.