An Electronics Store Sold a Home Theater System to an Employee

question 104

Multiple Choice

An electronics store sold a home theater system to an employee for $300,even though the retail price was $500.The gross profit percentage is 40%.Such discounts are available to all employees.How much income should be recognized by the employee from these transactions?

• A)$0
• B)$100
• C)$120
• D)$200

---

Definitions:

Disparate treatment

A legal doctrine under U.S. employment law that refers to intentional discrimination against individuals on the basis of race, color, religion, sex, or national origin.

Employment practices

Policies, procedures, and actions related to the management of employees within an organization, including hiring, training, promotion, and termination.

Americans with Disabilities Act

A civil rights law enacted in 1990 that prohibits discrimination against individuals with disabilities in all areas of public life.

Ongoing and permanent

A term used to describe actions, conditions, or states that continue indefinitely without a predetermined end.