in question 2 why is option A the right answer given that travelling from home is not the concern of the business and it has possibility to be misused , where as option E warrants extra travel for work related stuff that is of business concern plus can not be misused as client would contact the company for their needs so company will automatically have records

i was stuck between A and E and then i decided to go with E as option A can not be verified as the employee can very easily lie about the vehicle it used to come to office but it can not lie about the number of times it met the customer as that can be verified by contacting the customers as an after sales survey,so please justify choosing option A over E?

I had the same confusion between options A and E. The question mentions setting a precedent which is least likely to be misused in the future. I feel Option A could easily be misused as an employee can claim being new and continue to use rickshaws instead of bikes, thus costing the company higher expenses. Also, I know we shouldn't assume this, but considering that Palani has worked in another branch of the company before, wouldn't he be aware that he is required to use a means of transportation that would cost the company the least? And wouldn't he be briefed about this when he joins this particular branch as well?

Why not option D ? We can easily verify the travel details of Palani. Moreover, we can also see the meeting preferences of the customers. I think it makes more sense as it sets the precedent that the company is willing to be flexible if the person is willing to adjust according to the needs of the customer.

What precedent is Satyender setting in this case? As the first option could be used by others and when palani is meeting with customers it may be possible that he would have some kind of proof of meeting.Also not having a bike is palani's personal problem,how come that could be used for company's decision policies?

What is wrong with option E? Since the reason would be work-related as well and in which case, proofs would also be there. Henceforth, E seems to be a better option as compared to option A

(E) is the better choice. Palani being new to the area using motorcycle is not justified at all. Why would he use motorcycle if he is new to the area? How is it a better choice than using rickshaw and no matter if it is a better choice or not, it still can't be justified. It his personal problem/choice.
While visiting customers repeatedly is for the cause of the institute. There is no personal preference of his in that. It can be completely cross verified and justified.

Can you please help by explaining what exactly the question is? I think, I don't clearly understand what answer this question expect.

How Option A will set a precedent which shall not be misused by others? other employees can misuse this by taking more expensive and luxurious taxi services on the context of faulty personal vehicles or for any of the reasons. Definitely there is no cap on the amount but again it says that the expense is 30% more, any of the employee can then travel by luxurious services and show an increased expense bill thus this can be misused, whereas if satyender knows that the client needs additional persuasion , company will be willing to spend more on those clients to get them on board and further this cant be misused as no other employee can use this reason for increased travel bills as satyender/company already knows which type of clients are handled by whom and who needs extra persuasion and who doesnot.