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Surveys Show That People May Prefer to Deal with Members

Question 305

Multiple Choice

Surveys show that people may prefer to deal with members of their own race. A company assigns white salespersons to white clients and Hispanic salespersons to Hispanic clients. This makes commissions to all the salespersons higher than if the sales-persons were assigned randomly. Assignments based on race are:


A) illegal disparate treatment under Title VII
B) illegal only if the salespersons earn different wages
C) legal if the salespersons of all races have approved the market division
D) legal since the effect is to raise gross income on the affected group
E) legal since the interests of the customers is the same as the interests of the firm

Correct Answer:

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