Final answer:
In a transaction, an "agent" is the person who represents someone else. They have authority to act on behalf of the principal and can legally bind them within the agency relationship. The correct option is B.
Step-by-step explanation:
The person who is representing someone else in a transaction is called an agent. This term is used in the context of business and law.
An agent acts on behalf of another person, who is referred to as the principal. The principal delegates authority to the agent to perform certain acts or make decisions, and the agent's actions legally bind the principal within the scope of the agency relationship.
In business transactions, agents play a critical role by enabling individuals or entities, such as corporations, to conduct business without having to be present personally. There are various types of agents, such as sales agents, real estate agents, and insurance agents, who are authorized to act on behalf of their clients. The correct option is B.