Contract-Based Arbitration Is Considered to Be

question 99

Multiple Choice

Contract-based arbitration is considered to be:

• A) voluntary because both parties have willingly agreed to participate.
• B) unconstitutional in most states because it limits redress of grievances.
• C) coercive because it provides an unfair advantage to the party originating the contract.
• D) restrictive and undesirable because of expense and time considerations.
• E) legally impractical because these agreements are too difficult to reach in early contract negotiations.

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Definitions:

Cash Balance

The amount of money on hand and in bank accounts, reflecting a company's liquidity.

Direct Labor Cost

The expense incurred by employing workers to produce a product or provide a service, excluding indirect costs such as supervision and administration.

Direct Labor

The wages paid to workers who are directly involved in manufacturing products or providing services.

Production Units

This term refers to the quantifiable amount of products manufactured or produced in a given period, serving as a basis for cost allocation and efficiency analysis.