Fact Pattern 28-2BRico signs a lease on behalf of Start-Up Games, Inc., with Tower Office Suites. As part of the lease, Rico signs a document titled "GUARANTY," which states that it is "an absolute guaranty" of the lease's performance.Refer to Fact Pattern 28-2B. The reason for the result in the previous question is that
A. Rico signed a "GUARANTY."
B. Tower Office Suites owns the property and can re-rent the premises.
C. the other tenants can equitably absorb a slight increase in rent.
D. Start-Up will likely move out when it stops paying the rent.
Answer: A
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Harkin Company purchased a building on a tract of land and allocated the entire cost of the purchase to building. Normally it depreciates buildings over 20 years using the straight-line method with zero residual value and does not depreciate land. Because of its accounting treatment of the purchase, Harkin's income before taxes for the next 20 years will be
a. overstated. b. understated. c. unaffected. d. in conformance with GAAP.
Employees of the company or other applicants who have interviewed will never be of help to the interviewee
Indicate whether the statement is true or false
Fifty-nine auto dealers around the country were fined $200,000 by the Department of Labor for child labor violations. The car dealers hire 16- and 17-year olds to move cars from service bays to customer pick-up areas and from lots to show rooms. They are also employed to wash cars. The teenagers move the cars literally only hundreds of feet in the process, but they are driving the cars. Under the
Fair Labor Standards Act and the federal regulations, only those employees who are age 18 or above are permitted to drive as part of job requirements. The fine for a violation is $1,100. The Department of Labor contacted dealerships and asked for the names of their employees under the age of 18 . Once the Department had the names, it contacted the young employees to question them about their job duties. Upon discovery of the driving, the dealerships were fined. About one-half of the dealerships have paid the fines and the remainder are protesting. The result has been that dealerships will now employ only those who are 18 and older because it is impossible to have an employee responsible for washing cars and not be able to move the car. The result has been that many special job programs for minority students and students in vocational schools have been eliminated. a. Do you think this type of driving was intended to be covered in the child labor statutes? b. Are auto dealers taking advantage of children or helping them?
In Lawler v. Montblanc North America, where Lawler was fired soon after telling her supervisor that for medical reasons she could not work more than 20 hours per week, the appeals court held she could sue the employer for mental distress because her expert witness testified that she was emotionally fragile and was "nearly destroyed" by the action
a. True b. False Indicate whether the statement is true or false