One and Joel are partners in an accounting firm. Joel traveled abroad for medical reasons...
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Accounting
One and Joel are partners in anaccounting firm. Joeltraveled abroad for medical reasonsfor a year, leaving One in charge of their business. While Joel was away, One hiredNonsikelelo to be office administrator at a salary of P48,000 per annum. Upon returning,Joel discovered that Nonsikelelossalary had not been paid regularly and she was owed P20,000. Joel told Nonsikelelo that One had no authority to hire her and that her contract was rendered void. He mentioned that he was not liable under the contract.
a. Explain whether One had authority to hire Nonsikelelo in Joels absence.(12 marks)
b. Discuss the term liability and state whether Joel is liable to Nonsikelelo in terms of the outstanding salary.
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