In a Manufacturing Company, Promotions Were Based on Seniority

question 2

Multiple Choice

In a manufacturing company, promotions were based on seniority. The company instituted a policy of high school education, and two aptitude tests were held for the selection of employees. All employees who had high school diplomas appeared for the test. The pass rate of the white employees was 85 percent while the pass rate for African American employees was 14 percent. The African American employees brought a lawsuit against the company in the District court alleging that this violated Title VII of the Civil Rights Act of 1964. Based on the above information, it is most likely that the District Court held that:

• A)the company did not violate the Title VII Act.
• B)the company violated the Title VII Act.
• C)the company had the right to discriminate against African American employees.
• D)the company was unfair in administering the test.

---

Definitions:

Organizational Objectives

The specific, measurable goals set by a business or organization to guide operations and strategic planning.

Planning

The process of setting objectives, determining strategies to achieve those objectives, and developing plans to integrate and coordinate activities.

Conversion Costs

The combined total of direct labor and manufacturing overhead costs that are incurred to convert raw materials into finished products.

Period Costs

Expenses that are not directly tied to the production process and are expensed in the accounting period in which they are incurred, such as salaries and utilities.