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The University of North is major state university. The University was preparing for its next re-accreditation, so the University board set aside extra funds to ensure that the professors could travel for research purposes. To make simpler the paying for these expenditures, University officials decided to give each professor a credit card specifically for research travel. Professor Alan had terrible credit and was overjoyed to have the credit card. He employed the card to travel to many places to present his research. He also employed the card to purchase his family gifts every time he went to a different place. Professor Alan reasoned that University wouldn’t know the difference, but he was wrong. The accounting department tracked the buys and told Professor Alan that he had to pay for the personal purchases. Professor Alan assured that he would do so, but he never did. The credit card company contacted the University many times to gather the unpaid debt. The University refused to pay card charges on the grounds they were unauthorized. Is University correct? describe why or why not

Operation Management, Management Studies

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