Maple Hired Birch to Work as a Taxi Driver for Maple.After

question 24

Multiple Choice

Maple hired Birch to work as a taxi driver for Maple.After a long,hot summer day of city driving and dealing with other rude drivers,Max,another driver,cut Birch off and slightly dented Birch's taxicab.An enraged Birch pulled Max out of the car and hit him with a brick that was lying on the road.Max suffered serious and permanent injuries and wants to sue.Who is liable in this situation?

• A) Maple,under the doctrine of direct liability.
• B) Birch,since he was not in scope of employment.
• C) Maple and Birch,since the principal and the agent are responsible for the agent's torts.
• D) Max instigated the incident and hence will not be successful in the lawsuit.

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Definitions:

Earnings Per Share

A measure of a company's profitability that calculates how much of the net income is available per share of stock.

Year 2

Refers to the second year of a particular time frame, often used in financial analysis to denote the second year of operations, investments, or accounting periods.

Price-Earnings Ratio

A valuation metric comparing the current share price of a company to its per-share earnings.

Year 2

A reference to the second year in a time series analysis or the second year of a company's operations or financial reporting.