Which of the Following Is a Violation of the Fiduciary

question 46

Multiple Choice

Which of the following is a violation of the fiduciary duty of a partner?

• A) Where one partner uses information that he has gained from the partnership for the advantage of the partnership.
• B) Where a partner uses the partnership property for partnership business.
• C) Where one partner carries on an business unrelated to the partnership with the permission of the partners
• D) When one partner starts another business without the consent of the other partners which is the same as or in competition with the partnership business
• E) Where one partner learns of an investment opportunity in the field of the partnership and tells the partners. The partners decline on the opportunity, so he takes advantage of it himself

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Definitions:

Overapplied Overhead

A situation where the allocated manufacturing overhead cost exceeds the actual overhead incurred.

Direct Labor-Hours

Cumulative hours employees commit to the process of manufacturing.

Underapplied Overhead

A scenario where the estimated overhead costs allocated are less than the actual overhead costs incurred during production.

Direct Labor-Hours

The total hours of labor actually worked by employees directly involved in manufacturing a product.