When an Employee Commits a Tort in the Process of His

question 141

True/False

When an employee commits a tort in the process of his employment, the principle of vicarious liability states that the employer is liable, not the employee.

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Definitions:

Current Assets

Assets expected to become cash in less than one year. Current assets are largely cash, receivables, and inventories.

Current Liabilities

Financial obligations a company is due to pay within one year or within its operating cycle if longer than a year.

EOQ Model

Economic Order Quantity Model; a formula used to determine the optimal order quantity that minimizes total inventory costs.

Annual Ordering Cost

The total expenses associated with placing orders for goods or inventory over the course of a year.