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Jim Ramsay is a purchasing agent for Hooks Incorporated. Avery Company is one of the suppliers that Jim works with. Jim’s contact at Avery offered him a free family vacation for four to Disney World (flight/park tickets/hotel) if for the upcoming quarter, he purchases 20% more of his supplies from Avery.

Jim hasn’t taken his family on a vacation in over a year. Jim also hasn’t received a raise from Hooks in over two years even though his supervisor informed him during his last annual review that he is the top performing purchasing agent for the company. Jim believes that Avery delivers a good product at reasonable rates.

What are your thoughts on this case?

Financial Accounting, Accounting

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