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Fact Pattern 15-1 Gretta Is the CEO of a Paper Company Built near Company

question 3

Multiple Choice

Fact Pattern 15-1
Gretta is the CEO of a paper company built near a river used in interstate commerce although the state in which the company is located is land locked and not near the coast. Gretta determines that a significant amount of money needs to be spent to comply with the federal Clean Water Act. She is already in trouble with stockholders because of low profits and does not wish to spend extra money on pollution control. Therefore, she instructs employees to simply dump waste into the river. She was aware that she would be fired if the company received a heavy fine, but she decided to take the risk because she was in danger of being fired if profits did not come up anyway. Also, while Gretta believed that the Clean Air Act applied; Linda, a majority stockholder, told her that the Clean Water Act would not apply based upon the location of the plant.
-Refer to Fact Pattern 15-1.Does Gretta have any greater danger in this situation than being fired?

Definitions:

Standard Of Living

The degree of wealth, comfort, material goods, and necessities available to a person or community.

Output Per Worker

measures the average production or services provided by each worker, often used as a productivity indicator.

Discriminates

The act of making distinctions or treating someone differently based on characteristics other than individual merit.

Cost Efficient

A condition or process that achieves the intended result with minimal wasted resources or effort.