A 50-Year-Old African-American Employee Has Been "Carried" by Management for Years.His

question 17

Multiple Choice

A 50-year-old African-American employee has been "carried" by management for years.His substandard performance has been largely ignored because of personal concerns for his family and his supervisor's inability to confront poor performance.Now after seven years,the employee is fired as part of a layoff and files an age- and race-based discrimination suit.The primary way this problem could have been avoided would have been for the company and supervisor to have:

• A) provided EEOC training to all supervisors.
• B) established a complaint resolution system.
• C) documented the employee's work history.
• D) argued for reverse discrimination.

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Definitions:

Variable Cost

Costs that vary directly with the level of output or production activity, such as raw materials or hourly labor.

Cash Break-even

The point at which a company does not make a profit or loss from operations, calculated by covering all cash operating expenses with the revenue generated.

Net Present Value

A calculation used to determine the value of a project or investment by discounting future cash flows to the present.

Marginal Cost

The cost of producing one additional unit of a product, essential in economic theory for determining the optimal production level.