Which of the Following Is a Test That Must Be

question 19

Multiple Choice

Which of the following is a test that must be met to qualify for the administrative employee exemption?

• A)The employee must be compensated on a salary or fee basis at a rate not less than $455 per week.
• B)The employee's primary duty must be performance of manual work.
• C)The employee must customarily and regularly direct the work of at least two or more other full-time employees or their equivalent.
• D)The employee must have the authority to hire or fire other employees.

Understand the critical debates surrounding high compensation for board of directors.

Recognize the foundational models of corporate governance and their economic precepts.

Identify the roles of accountability, oversight, and control in corporate governance.

Distinguish between different levels of corporate governance issues.

---

Definitions:

Straight-line Depreciation

A method for dispersing the cost of a physical asset across its useful life in even annual allocations.

Discounted Payback

A capital budgeting method used to determine the profitability of an investment by calculating the time it takes for the present value of cash flows to cover the initial investment cost.

Annual Cash Flows

The total amount of money being transferred in and out of a business, considered on a yearly basis.

Required Rate

The minimum return an investor expects to achieve on an investment, considering its risk, also known as the hurdle rate or the required rate of return.