A Former Employee of Your Firm Was Dismissed When It

question 20

Multiple Choice

A former employee of your firm was dismissed when it was suspected that she had stolen from the petty cash account. It could not be proven, but suspicions were strong enough that the firm decided to let her go. She has now applied at another firm, and listed your firm as a reference. What should you do?

• A)tell the prospective employer about your suspicions, or you might be held liable if she steals money from them and you didn't tell them
• B)don't tell them about your suspicions; just give her a glowing reference
• C)don't tell them about your suspicions; just give a "service" reference
• D)any of these is an acceptable choice

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Definitions:

Individual Units

Individual Units refers to discrete or separate items, especially in contexts where products, housing, or inventory are considered on a per-unit basis.

Process Costing Systems

A costing method used in manufacturing where costs are assigned to processes or departments for mass-produced goods.

Work in Process Inventory

Items that are in the production process but are not yet completed, representing one of the stages in the production cycle.

Production Departments

Specific areas or units within a manufacturing facility where goods are produced.