What Is the Likely Reason That Airlines Might Restrict the Use

question 280

Multiple Choice

What is the likely reason that airlines might restrict the use of frequent flyer miles during holiday periods?

• A) The opportunity cost to airlines of filling seats with frequent flyers is lower at these times.
• B) Airlines want to protect their most loyal customers from the discomfort of overcrowded airplanes.
• C) The opportunity cost to airlines of filling seats with frequent flyers is higher at these times.
• D) Passengers have more transportation alternatives available to them at these times.

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Definitions:

Legal Proceeding

A process by which a legal matter is resolved in a court of law.

Oral Contract

An agreement between parties that is made verbally instead of being documented in writing.

Admission

A statement made in court, under oath, or at some stage during a legal proceeding in which a party against whom charges have been brought admits that an oral contract existed, even though the contract was required to be in writing.

Equal Dignity Rule

A legal principle requiring that agents’ actions and contracts signed on behalf of a principal must be in writing if the principal's contract is also required to be in writing.