A Contract of Employment That Allows an Employee to Terminate

question 49

True/False

A contract of employment that allows an employee to terminate the employment relationship at will must be in writing to be enforceable.

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Definitions:

Times Interest Earned Ratio

A financial metric that measures a company's ability to cover its interest expenses with its earnings before interest and taxes (EBIT).

Income Tax Payments

Payments made to government entities based on earned income and profits, an obligation for individuals and businesses.

Interest Expense

The cost incurred by an entity for borrowing funds, typically reflected in the profit and loss statement.

Cash Coverage

A ratio that measures a company's ability to meet its interest obligations with its operating cash flow, providing insight into financial stability.