Why Would a Hotel Guest Who Has Been Injured by a Tortious

question 44

Multiple Choice

Why would a hotel guest who has been injured by a tortious act of the hotel's employee be entitled to claim liability in tort and in contract?

• A) Businesses are particularly vulnerable to the doctrine of vicarious liability.
• B) Providing a reasonably safe environment is an implied term of the contract.
• C) Provision of inadequate service gives rise to primary liability of employees.
• D) Businesses are exposed to a wide variety of risks related to tort actions.

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Definitions:

Direct Labor Rate Variance

The difference between the expected cost of direct labor at standard rates and the actual cost incurred.

Fixed Manufacturing Overhead

Costs that do not vary with the level of production output, including expenses such as factory rent, salaries of manufacturing personnel, and property taxes on manufacturing facilities.

Direct Labor Variances

The differences between the actual costs of labor and the standard or expected costs, used to assess how effectively labor resources are used.

Direct Labor

Direct labor costs are the wages paid to workers directly involved in the production of goods or services. These costs are directly traceable to the cost object, such as a product unit.