Scenario 8-3 Bill, Who Has an Arthritic Condition, Applied for a Position

question 69

Multiple Choice

Scenario 8-3
Bill, who has an arthritic condition, applied for a position as a private bus driver. He met all the conditions of the selection process but was rejected by the company on the advice of the doctor who performed the mandatory medical examination.
-Refer to Scenario 8-3. Before requiring the medical exam, which of the following did the employer need to establish?

• A) The absence of arthritis was a bona fide occupational requirement for a private bus driver.
• B) The medical exam was valid.
• C) The medical exam was reliable.
• D) Physical ability was a bona fide occupational requirement for a private bus driver.

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Definitions:

Serial Bonds

A type of bond issue that is structured so that a portion of the bonds matures at different intervals over a period of time, facilitating the gradual repayment of the debt.

Interest Expense

The cost incurred by an entity for borrowed funds, reported on the income statement as part of operating expenses if related to core operations, or as non-operating expenses if it is not.

Bonds Outstanding Method

A technique used to calculate the total amount of bonds that are currently issued and not yet redeemed or paid off by the issuer.

Note Receivable

A written promise for amounts to be received by a business, typically including interest, from another party.