Which of the following statements is true of an employer-employee relationship?

Question

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An employer-employee relationship is based on a contract where an individual is hired by an employer to perform a specific task or service. Options A, B, and C are not true statements of an employer-employee relationship as an employee does not have power of attorney or authority to act on behalf of the principal, and does not have the ability to enter into contracts on behalf of the employer.

Which of the Following Statements Is True of an Employer-Employee