Jim Applied for a Position with the City's Public Works

question 49

True/False

Jim applied for a position with the city's public works department that he had seen advertised in the local newspaper. The advertisement specifically requested experience with heavy machinery, which would be used on a daily basis in this job. Jim did not know how to operate any of the machinery, and in fact, he did not have a valid driver's licence. On his first day at the job Jim caused an accident that will cost the city greatly. Jim's action would constitute deceit under tort law.

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Definitions:

Net Investment

The purchase of capital assets minus depreciation, representing the total amount invested in assets for generating income.

Recognised Asset

An item of economic value that is accounted for and reported on a company's financial statements, meeting specific recognition criteria.

Foreign Exchange Gain

Profit from favourable changes in exchange rates affecting the value of currency positions.

Interest Expense

The cost incurred by an entity for borrowed funds over a period of time, often reported on the income statement.