A property management agreement authorizes the manager to spend up to $500 on emergency repairs without prior owner approval. A pipe bursts and the repair costs $450. The manager hires a plumber immediately. Has the manager acted properly?
Correct Answer
A) Yes, because the repair cost is within the authorized spending limit for emergencies
The property management agreement authorized the manager to spend up to $500 on emergency repairs without prior approval. The $450 repair is within that limit.
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