All Through High School Mark's Parents Were Focused on Him

question 66

Multiple Choice

All through high school Mark's parents were focused on him becoming a doctor-following in his father's and grandfather's footsteps. But Mark's dream was to become an auto mechanic and after one especially emotionally charged argument, Mark moved out into a one-bedroom basement apartment. He applied to a technical college, was accepted, and sent off his application for a student loan. Which of the following will happen?

• A) His application will be denied because he is going to a college rather than a university.
• B) His application will be approved since there is a high demand for qualified trades people.
• C) His application will be denied because of his parent's income level.
• D) His application will be approved because of the socioeconomic status of his parents.

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Definitions:

Principal-Agent Problem

A dilemma in economics occurring when one party (the agent) is able to make decisions and/or take actions on behalf of, or that impact, another party (the principal).

Profit-Sharing Plans

A company program that gives employees a share in the profits of the company.

Residual Claimants

Individuals or entities entitled to a share of a company's profits after all obligations have been met.

Team Production

A production process in which employees work together under the supervision of the owner or the owner’s representative.