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A Restaurant Refuses to Serve Joe Because of the Color

question 95

Essay

A restaurant refuses to serve Joe because of the color of his skin. When Joe complains about the issue, the manager of the restaurant tells Joe that the restaurant is only meant for whites and hence non-whites are not served in the restaurant. Will the manager escape liability under the provision in Title VII which allows discrimination under certain conditions?


Definitions:

Contribution Margin Ratio

A financial metric that shows the percentage of sales revenue that exceeds variable costs, indicating how much revenue contributes to fixed costs and profit.

Break-Even Point

The point where total costs and total revenues are equal, leading to no profit or loss from production or sales.

Fixed Costs

Costs such as rent, salaries, and insurance are invariant, unaffected by the quantity of production or sales.

Cost Volume Profit Analysis

A financial analysis method used to determine how changes in costs and volume affect a company's operating income and net income.

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