Which of the Following Is a Difference Between an Employer-Employee

question 25

Multiple Choice

Which of the following is a difference between an employer-employee and an employer- independent contractor relationship?

• A) An employer pays unemployment insurance taxes and medical benefits for employees but not for independent contractors.
• B) An employer controls an independent contractor's physical conduct and details of work performance but not an employee's physical conduct and work performance.
• C) An employer can be held liable for torts committed by an independent contractor but not for the torts committed by an employee.
• D) An employer supplies the tools and equipment required by independent contractors, whereas employees are expected to bring their own tools and equipment.

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Definitions:

Product Life Cycle

A concept that describes the stages a product goes through from when it is first introduced to the market until it is discontinued.

Cannibalization

When a company's new product eats into the sales of one of its existing products, potentially reducing overall sales revenue.

Pricing Constraints

Limitations or factors that affect the setting of prices for goods and services, such as cost of production, competition, and customer demand.

Regulatory Commissions

Official bodies or organizations responsible for the control and supervision of specific industries or fields, ensuring compliance with laws and regulations.