Martha and Bill Have Applied for Teaching Positions in Your

question 73

Multiple Choice

Martha and Bill have applied for teaching positions in your school's accounting department. Martha is a recent graduate with her PhD in accounting and one published paper. She has no teaching experience except for classes taught as a teaching assistant during her PhD program. Bill also has a PhD in accounting and has been teaching for five years at a major university. He has eight published papers. Both are hired as tenure track assistant professors and assigned two 101 courses and one 102 course. When Martha later discovers that Bill's salary is $10,000 higher than hers, she is furious and files suit under the Equal Pay Act. Will she be successful?

• A) She is being paid less to do the exact same job that her male counterpart is doing, so she does have a valid cause of action.
• B) Bill's five years of seniority allows the university to pay him more without liability.
• C) Martha does not have a valid cause of action because she is not a minority eligible for EPA protections.
• D) Martha does not have a valid cause of action because Bill is being paid a different salary based on factors other than sex.

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Definitions:

Initial Investments

Initial investments refer to the upfront capital invested in starting a business or a project, encompassing costs such as machinery, equipment, and property.

After-Tax Discount Rate

The rate used to discount future cash flows to their present value, taking into account the impact of taxes.

Income Tax Rate

The portion of one's income that is handed over to the state as taxation.

Straight-Line Depreciation

A manner for allocating the expense of a material asset across its functional life in even yearly figures.