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Candy-Corp Hires a Summer Intern to Work in the Candy

question 45

Multiple Choice

Candy-Corp hires a summer intern to work in the candy shop during the summer.The intern works 20 hours a week and earns course credit for a course he is taking toward his culinary degree.He is learning a great deal,and at the same time,the company is benefiting from the intern because they did not need to schedule their regular employees full time and they are not paying the intern.What is the legal liability this company is incurring?

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Definitions:

Short-Term Debt

Borrowings and financial obligations that are due for repayment within one year.

Interest Payments

The payment that a borrower makes to a lender for the use of money, usually expressed as an annual percentage of the loan amount.

Debt Management Ratios

Financial metrics used to assess a company's ability to manage and pay off its debt obligations.

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