Edward Is Hired to Manage Fred's Business

question 55

Multiple Choice

Edward is hired to manage Fred's business. Which of the following is untrue regarding Edward's authority?

• A) Edward has authority to sell a used cash register when he buys a new computerized checkout system for the store.
• B) Edward has authority to send bills to customers and to accept payments on behalf of Fred.
• C) Edward can hire employees, but he cannot fire them without Fred's consent.
• D) Edward can enter into contract with wholesalers for merchandise in the store.

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Definitions:

Code

A set of rules or principles designed to regulate behavior or to prescribe standards.

Risk of Loss

The risk of loss refers to the potential for an asset to lose value or for an investment to not perform as expected, often shifted from seller to buyer upon completion of certain conditions in a contract.

Accidental Fire

An unplanned and unintentional flame or blaze causing damage, which is not caused by deliberate action.

Marxist Exploitation Theory

The assertion that the powerful economic elite promotes, and benefits from, prejudice and discrimination.