Which of the Following Methods for Gathering Background Information About

question 40

Multiple Choice

Which of the following methods for gathering background information about a job applicant is NOT recommended because of potential legal violations?

• A) searching social networking sites for posted information about the applicant
• B) using a database to access information about the applicant's credit history
• C) asking former employers open-ended questions about the applicant
• D) locating references other than the ones provided by the applicant
• E) using a search engine to find information about the applicant

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Definitions:

Equity Method

An accounting technique used by companies to assess the profits earned by their investments in other companies, where the investment income is proportional to the equity held.

Dividends

Distributions issued by a company to its shareholders, typically originating from the firm's earnings.

Amortization Expense

The cost associated with the gradual write-off of the value of an intangible asset over its useful life.

Business Combination

The process by which two or more companies merge or one company acquires another, pooling their resources and operations.