Martha and Wendy Start a Cookie Shop and the Business

question 348

Multiple Choice

Martha and Wendy start a cookie shop and the business is organized as a corporation. Because of poor planning the business goes bankrupt and the corporation's debt is $30,000. Martha has $30,000 in savings and Wendy has $80,000 in savings. Martha must pay ________ of the debt and Wendy must pay ________ of the debt.

• A) $0; $0
• B) $15,000; $15,000
• C) $0; $30,000
• D) None of the above answers is correct because each must pay but the amount each must pay cannot be determined without more information about who managed the company.

Identify and explain the core dimensions of job characteristics model.

Define psychological empowerment and its related beliefs.

Understand the effects of seniority-based pay on employee retention and performance.

Grasp the concept of self-determination in the workplace.

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Definitions:

Oral Contract

An agreement between parties that is spoken and not written, yet is legally binding unless specifically required by law to be written.

Enforceable

Capable of being executed or imposed in accordance with legal or contractual requirements.

Debt

Money owed by one party, the debtor, to another party, the creditor; an obligation to pay or do something.

Enforceable

Legally binding; capable of being upheld or imposed in a court of law.