Anita Is Hired as Head of the Sales Team of an Unincorporated

question 36

Essay

Anita is hired as head of the sales team of an unincorporated dress boutique solely owned by Betty. The two agree that Anita will receive one-third of the net profits, which amount is to be paid to her on a monthly basis. Is Anita a partner? If the boutique has a loss instead of a profit, would Anita have to share the loss? Explain.

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Definitions:

Leadership Grid

A model used in organizational development to evaluate a leader's concern for people versus their concern for production or results.

Team Manager

A leader or supervisor responsible for directing and coordinating the efforts of a group of individuals working towards a common goal.

Highest Levels

The pinnacle or utmost extent of a particular ranking, measurement, or classification.

Situational Favorableness

The degree to which circumstances or conditions are advantageous for achieving a desired outcome.