The Findings of a Recent Company Survey at Rader Industries

question 11

Multiple Choice

The findings of a recent company survey at Rader Industries showed that employees are experiencing high levels of work stress. To offset this, a manager suggests instituting a leave policy whereby employees must go on a mandatory vacation for seven days in the year.
-Under which of the following conditions, if true, would the manager's suggestion most likely be accepted?

• A) The company recently acquired a new client and work volumes are expected to increase.
• B) The company halted its hiring plans for the year to focus on developing talent in-house.
• C) The company allows employees to exchange their unused leave for cash at the end of every year.
• D) The company promotes work-life balance, by offering employees flexible working arrangements.
• E) The company has a policy whereby unused leave lapses at the end of every year.

Identify the tort liabilities arising from an agent’s actions and the principal's responsibilities in such cases.

Understand the concept of authority in agency relationships, including apparent, express, and implied authority.

Recognize the various duties an agent owes to a principal, including loyalty, obedience, and care.

Analyze the legal consequences of breaching fiduciary duties within an agency relationship.

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Definitions:

Paying Suppliers

The process of settling financial transactions with suppliers by transferring payment for goods or services received.

Inventory Period

The duration of time it takes for a company to sell its inventory and convert it into sales, often measured in days or months.

Slow-selling Merchandise

Items in inventory that move or sell at a slower pace than anticipated, often leading to excess stock and markdowns.

Cash Cycle

Refers to the amount of time it takes for a company to convert its investments in inventory and other resources into cash flows from sales.