Negligent Hiring Occurs When

question 55

Multiple Choice

Negligent hiring occurs when:

• A)an unvalidated selection device is used resulting in hiring an employee who cannot perform the job.
• B)hiring takes place without the use of any formal selection devices.
• C)a third party such as coworker, client, or customer of an organization files suit against an employer for injuries caused by an employee.
• D)hiring results in adverse impact against a protected group.

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Definitions:

Accounting Costs

The documented expenses and outlays involved in running a business, as recorded in its financial statements.

Economic Costs

The total cost of choosing one action over another, including both explicit costs (direct payments) and implicit costs (opportunity costs).

Price-Taker Market

A market structure where individual firms have no control over the price of their product, taking the market price as given.

Market Supply Curve

A graphical representation of the quantity of goods suppliers are willing to sell at different price levels.