Business Law
Final Exam Questions
Course Introduction
Business Law provides an overview of the legal principles and regulations that govern the formation and operation of businesses. The course covers topics such as contracts, agency, employment law, business entities (including partnerships, corporations, and limited liability companies), intellectual property, and dispute resolution. Students will develop an understanding of how laws impact business decision-making, recognize legal risks, and learn strategies to ensure compliance with statutory and regulatory frameworks. Through case studies and real-world examples, the course equips students with the knowledge to navigate legal challenges in the business environment.
Recommended Textbook
Business Law and the Legal Environment Standard Edition 8th Edition by Jeffrey F. Beatty
Available Study Resources on Quizplus
44 Chapters
1980 Verified Questions
1980 Flashcards
Source URL: https://quizplus.com/study-set/2330
Page 2
Chapter 1: Introduction to Law
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46285
Sample Questions
Q1) Congress enacted legislation in 1933 to regulate the securities industry and prohibit various forms of fraud with securities.The Securities Exchange Act of 1934 was passed a year later.This law created the Securities and Exchange Commission (SEC)as an independent regulatory entity whose function is to administer the two laws.The SEC has generated rules and regulations to administer these acts.These rules and regulations are
A)statutes.
B)administrative law.
C)executive orders.
D)common law.
Answer: B
Q2) The President of the United States
A)creates federal common law.
B)can veto Congressional legislation.
C)determines the constitutionality of statutes.
D)passes statutes.
Answer: B
To view all questions and flashcards with answers, click on the resource link above.
Page 3
Chapter 2: Ethics and Corporate Social Responsibility
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46286
Sample Questions
Q1) Wever,Inc.is considering relocating a facility to Mexico.The interests of the various stakeholders affected by this decision may conflict.
A)True
B)False
Answer: True
Q2) John Rawls' suggestion that society should reward behavior that provides the most benefit to the community as a whole is referred to as
A)the difference principle.
B)the veil of ignorance.
C)moral universalism.
D)moral relativism.
Answer: A
Q3) According to Immanuel Kant,the truth should be told,no matter the outcome.This is the idea behind what he called
A)moral universalism.
B)the categorical imperative.
C)moral relativism.
D)the veil of ignorance.
Answer: B
To view all questions and flashcards with answers, click on the resource link above.
Page 4
Chapter 3: International Law
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46287
Sample Questions
Q1) The primary goal of the North American Free Trade Agreement (NAFTA)was to
A)allow Canada,the United States,and Mexico to compete as a common economic entity against other countries in the world.
B)allow for the free and unrestricted movement of people from one country to another to improve the labor market of Canada,the United States,and Mexico.
C)eliminate almost all trade barriers between Canada,the United States,and Mexico.
D)establish a common set of tariffs and trade restrictions for external countries.
Answer: C
Q2) Extraterritoriality can be defined as
A)the power of one nation to create trade restrictions that involve other countries.
B)the power to regulate tariffs in foreign nations as provided for by GATT.
C)the power of one nation to impose its laws in other countries.
D)the power of a company to extend its subsidiaries overseas without abiding by trade laws.
Answer: C
To view all questions and flashcards with answers, click on the resource link above. Page 5
Chapter 4: Common Law, Statutory Law, and Administrative Law
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46288
Sample Questions
Q1) Even if a statute's words have ordinary,everyday significance,the court will look at the legislative history of the law and public policy in order to interpret the statute.
A)True
B)False
Q2) Statutory law is to legislative bodies as common law is to A)rulemaking. B)agencies.
C)courts.
D)administrative regulations.
Q3) Common law is never as easy as we may like because the law is trying to accommodate both A)predictability and flexibility. B)intent and reason.
C)flexibility and precedent. D)understandability and predictability.
Q4) Common law,like statutory law,is prospective. A)True B)False
To view all questions and flashcards with answers, click on the resource link above. Page 6
Chapter 5: Constitutional Law
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46289
Sample Questions
Q1) The doctrine of preemption is based on the Constitution's
A)Commerce Clause.
B)Due Process Clause.
C)Equal Protection Clause.
D)Supremacy Clause.
Q2) If there is a conflict between a state and federal law,generally the federal law will prevail because of the
A)federalism doctrine.
B)Supremacy Clause.
C)paramount doctrine.
D)Interstate Commerce Clause.
Q3) If Oregon passed a statute that prohibited liquor stores from engaging in any kind of advertising,that statute would be
A)valid as an exercise of police power.
B)valid,as alcohol is illegal for minors.
C)invalid as a violation of the Commerce Clause.
D)invalid as an unreasonable restriction of free speech.
Q4) Identify the basic job of a President of the United States,the source of executive power,and three key powers associated with the position of President.
To view all questions and flashcards with answers, click on the resource link above. Page 7
Chapter 6: Dispute Resolution
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46290
Sample Questions
Q1) The United States has taken a position that legal issues are best resolved by lawsuits involving parties with conflicting interests presenting their strongest possible case to a neutral factfinder.Because of this,the legal system in the United States is considered
A)an adversary system.
B)a conflict system.
C)an alternative dispute resolution system.
D)a mediation system.
Q2) Which of the following courts determines facts?
A)U.S.District Court
B)U.S.Supreme Court
C)U.S.Court of Appeals
D)All of these are correct.
Q3) In order for a federal court to have jurisdiction,there must be a federal question involved and at least $75,000 in dispute.
A)True
B)False
Q4) A summons is a paper ordering a defendant to appear in court at a certain time.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 8
Chapter 7: Crime
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46291
Sample Questions
Q1) Mulcare Corp.started a compliance program to prevent and detect criminal conduct within the company and had specific,high-level officers in charge of overseeing the program.The company effectively communicated the program to its employees and monitored those employees who were in a position to cheat.It promptly disciplined anyone who broke the law.One effect of having this program is
A)federal investigators would no longer investigate the company since Mulcare could take care of any problems internally.
B)federal investigators might be convinced to limit any prosecution to those directly involved rather than attempting to get a conviction against high-ranking officers or against the company itself.
C)the Federal Sentencing Guidelines no longer apply.
D)any cases would be prosecuted in state,rather than federal,court.
Q2) The fraudulent conversion of property which is already in the defendant's possession is
A)money laundering.
B)exclusion.
C)embezzlement.
D)trespassory taking.
Q3) Compare and contrast money laundering and embezzlement.Give an example of each.
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 8: Intentional Torts and Business Torts
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46292
Sample Questions
Q1) A national magazine published an article about a famous television star.The television personality is upset because the information contained in the story is not correct.If the actress sues the magazine,
A)she will need to show that the magazine has a history of being "reckless" with facts on a regular basis.
B)she will need to show that the magazine either knew the story was false or acted with reckless disregard of the facts.
C)she will need to show that the magazine failed to attempt to verify the story by trying to contact her or her agent before the story was printed.
D)she will need to show that the magazine could have discovered that the story was false but failed to do so.
Q2) The ruling in the landmark case of New York Times v.Sullivan was that a public official can win a defamation case
A)without proving the defendant acted with reckless disregard of the truth.
B)only by proving the defendant's actual malice.
C)without proving the defendant knew his or her statement was false.
D)only by proving the defendant has a history of reckless behavior.
Q3) Discuss the four elements that must be proven in order to win a defamation case.
To view all questions and flashcards with answers, click on the resource link above. Page 10
Chapter 9: Negligence, Strict Liability, and Product Liability
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46293
Sample Questions
Q1) One morning,Miles accidentally dropped a thumbtack on the chair of the office manager where he worked.The office manager sat on the tack and,two days later,was hospitalized with an infection caused by the tack.Which of the following is correct?
A)Miles's actions were negligent.
B)No tort has been committed.
C)Miles committed an intentional tort.
D)Miles is strictly liable.
Q2) Annette drove through an intersection without looking and hit Vincent's car that he had driven into the intersection without obeying a stop sign.Annette sued Vincent.The jury found that Annette's fault contributed 20 percent to the collision and determined that her total loss was $100,000.Under comparative negligence,the jury should award Annette
A)$20,000.
B)$80,000.
C)$100,000.
D)nothing.
Q3) List and discuss the elements necessary to establish negligence.
Q4) Discuss the concepts of contributory negligence and comparative negligence.
To view all questions and flashcards with answers, click on the resource link above.
Page 11
Chapter 10: Privacy and Internet Law
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46294
Sample Questions
Q1) Under the Electronic Communications Privacy Act
A)violators are subject to both criminal and civil penalties.
B)violators may be subject to civil,but not criminal,penalties.
C)only the unauthorized disclosure of email messages constitutes a violation.
D)only the unauthorized interception of email messages by the government or an ISP constitutes a violation.
Q2) Stuart is vying for a promotion but faces competition from a coworker,Brenda.Without authorization,Stuart accesses stored company records and discovers an unfavorable email message Brenda had written about the company.Stuart sends the message to his supervisor in hopes of keeping Brenda from getting the promotion.Discuss whether Stuart has violated any statute and,if so,what sanctions he may face.
Q3) Rachel works for the Internal Revenue Service and keeps some personal information on her computer at work.There has been suspicion that Rachel has not been keeping tax return information confidential.The Fourth Amendment to the Constitution,prohibiting unreasonable searches and seizures,protects Rachel from having the government review the personal information she has on her computer.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 12
Chapter 11: Introduction to Contracts
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46295
Sample Questions
Q1) When Myrtle comes home from work one evening,she finds that her yard has been mowed and trimmed.Later,a man comes to collect for the yard work done.Myrtle refuses to pay for the work since she has never seen the man before and did not hire him to do her yard work.Which of the following answers is most accurate?
A)This is an implied,unilateral contract and she must pay the price requested by the man.
B)This is an express,voidable contract that either party may avoid.
C)The court would order Myrtle to pay the reasonable value of the yard work because of the benefit conferred on her.
D)Myrtle would not have to pay for the yard work.
Q2) When promissory estoppel is used by the courts,it is because there is NOT an enforceable contract present.
A)True
B)False
Q3) All oral contracts are quasi-contracts until they are completely executed.
A)True
B)False
Q4) Briefly discuss the meaning of bilateral,unilateral,executory,and executed contracts.
To view all questions and flashcards with answers, click on the resource link above.
Page 13
Chapter 12: Agreement: Offers and Acceptances
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46296
Sample Questions
Q1) April put an advertisement in the newspaper advertising the sale of her computer for $500.Simultaneously,six people responded to the ad by mail with formal written acceptances.April is bound on all six contracts to sell her computer for $500.
A)True
B)False
Q2) Which of the following is outlawed by consumer protection statutes?
A)false advertising
B)clickwrap agreements
C)termination by expiration
D)browsewrap agreements
Q3) Briefly discuss how an offer can be accepted.Include in your answer the application of the mirror image rule.
Q4) Which of the following are generally considered to be legal offers?
A)placing an item up for auction
B)catalog advertisements
C)price lists
D)a note scribbled on a restaurant napkin that includes the details of the offer
Q5) What elements are necessary for an offer to be valid? Give two examples of nonoffers.
To view all questions and flashcards with answers, click on the resource link above. Page 14
Chapter 13: Consideration
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46297
Sample Questions
Q1) A debt that is disputed because the parties disagree over its existence or amount is an unliquidated debt.
A)True
B)False
Q2) A completed act can be the basis for consideration.
A)True
B)False
Q3) Marco agrees to sell Clowns R Us some balloons.The contract states that Clowns may buy as many balloons as it wishes.This agreement is
A)a requirements contract.
B)an output contract.
C)an illusory contract.
D)an enforceable contract.
Q4) As it pertains to consideration,which of the following constitutes value?
A)an illusory promise
B)a preexisting duty
C)a forbearance
D)All of these are correct.
Q5) What two exceptions did the UCC create for accord and satisfaction check cases?
To view all questions and flashcards with answers, click on the resource link above. Page 15
Chapter 14: Legality
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46298
Sample Questions
Q1) E-mation,Inc.hires Marvin to steal trade secrets from one of its competitors for $10,000.Marvin demands half of the money up front.E-mation pays Marvin $5,000,but Marvin decides not to pursue theft of the trade secrets.E-mation sues Marvin for the return of the $5,000.What will the court do with this contract?
A)The court will order Marvin to return the $5,000.
B)The court will order Marvin to return the $5,000 with interest.
C)The court will order Marvin to obtain the trade secrets.
D)The court will not do anything to help E-mation get its money back.
Q2) Larry has the largest pizza business in the city.He learns that Henry is thinking of opening a competing pizza and pasta delivery business.Larry gives Henry $25,000 to not open his proposed business in the same city.Which statement is correct?
A)The contract is voidable at Larry's option.
B)The contract is void for lack of consideration.
C)The contract is illegal and void.
D)The contract is enforceable.
Q3) Discuss the pros and cons of gambling and state what the California Court of Appeals ruled regarding the treatment of gambling on credit.
To view all questions and flashcards with answers, click on the resource link above. Page 16
Chapter 15: Voidable Contracts: Capacity and Consent
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46299
Sample Questions
Q1) If a salesperson says,"This is a great car and it's really fun to drive," but the car turns out to be a lemon,the salesperson has committed fraud.
A)True
B)False
Q2) Vince has begun forgetting things and is becoming very difficult to get along with.He is 85,has been ill,and is very fond of his housekeeper Annie.He gives a deed to Annie for all of his real property.At Vince's death,his children,who got only his photograph albums according to the will,ask that the deed be set aside and the land be put back in the estate for purposes of division among all the children.What will be the probable result in this case?
A)Since Vince was 85 he was probably incompetent and the court would rule for the children.
B)Clearly Annie used her position of dominance to persuade Vince to deed her the property,and it will be set aside.
C)Unless the children can prove that Vince was unable to understand what he was doing,or that Annie used her position to improperly influence Vince,Annie can keep the property.
D)Annie will not be able to keep the property since she is not a family member.
To view all questions and flashcards with answers, click on the resource link above.
Page 17
Chapter 16: Written Contracts
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46300
Sample Questions
Q1) Tony signed a contract agreeing to purchase a used,high-powered boat for $10,000.Prior to signing the contract,the sales representative explained that the boat motor was guaranteed for six months for all labor and parts.The written contract contained nothing about the warranty;however,it did have an integration clause in it.Tony had problems with the boat motor,causing expensive repairs.Tony returned the boat to the sales representative for the repairs,only to learn the salesman denied knowing anything about a six-month warranty.If Tony sues,discuss the likely outcome.
Q2) Hannah orally agrees to sell her house to Brett for $175,000.If she delivers the deed to Brett with the expectation of payment in two weeks and he fails to pay,most courts will not enforce the contract since it was not in writing.
A)True
B)False
Q3) Which of the following promises ordinarily must be fully executed in writing to be enforceable?
A)any sale of goods to a minor
B)an agreement between two parties to sell a piece of jewelry for $350
C)a six-month lease on an apartment beginning in 30 days
D)a promise made by an executor of an estate to pay a debt of the estate
To view all questions and flashcards with answers, click on the resource link above. Page 18
Chapter 17: Third Parties
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46301
Sample
Questions
Q1) A rock group assigns its payment under a performance contract to the Costume Shop,a business that has supplied the group with outrageous stage outfits,and to which the group owes a great sum of money.Under this arrangement the rock group is the A)assignor.
B)assignee.
C)delegator.
D)delegatee.
Q2) Shirley is an actress under contract with Twentieth Century.Shirley agreed to perform the lead role in a musical to be filmed in Hollywood by Twentieth Century.At the last minute,Twentieth Century decided to scrap the musical and assigned its rights in Shirley to MGM.MGM was planning to film a western in Australia requiring Shirley to spend six months filming in Australia.Can Shirley successfully prevent this assignment?
Q3) An assignment for consideration is irrevocable.
A)True
B)False
Q4) Discuss the potential liability differences between a delegation and a novation.
Q5) Briefly discuss the enforceability of contracts by third parties.
To view all questions and flashcards with answers, click on the resource link above.
Page 19
Chapter 18: Contract Termination
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46302
Sample
Questions
Q1) Ron operates a garbage pickup business.He contracts to pick up garbage from an apartment complex for the next 52 weeks at a price of $150 per week.Unexpectedly,the landfill center where Ron takes the garbage to dispose of it,files for bankruptcy.As a result,Ron must travel an additional 100 miles to the nearest landfill center,turning Ron's expected profit into a loss of $40 per week.Ron's best argument in support of his petition to be discharged from the contract is A)the mail box rule.
B)commercial impracticability.
C)frustration of purpose.
D)true impossibility.
Q2) The legal right to sue for a breach of contract is subject to a statute of limitations. A)True
B)False
Q3) What does the term "substantial performance" mean? What factors are generally considered when determining whether one of the parties has substantially performed?
Q4) An employment contract is an example of a personal satisfaction contract.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 20
Chapter 19: Remedies
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46303
Sample Questions
Q1) In a promissory estoppel case,a court will generally award
A)only reliance damages.
B)specific performance.
C)both reliance and punitive damages.
D)only nominal damages.
Q2) Banner enters into a contract with Sylvia to buy her house for $150,000.Sylvia decides later not to sell because she is so emotionally attached to the house.Banner insists that he is entitled to the house.Banner can successfully sue for specific performance.
A)True
B)False
Q3) Larry purchased a Leisure Lawnmower because the company salesperson intentionally misled him by assuring him that the mower was self-propelled,had a mulching feature,and had a five-year unlimited manufacturer's warranty.When Larry finds out that his new Leisure Lawnmower is not self-propelled,does not mulch,and has a 90-day warranty,he may successfully sue for
A)reformation of the contract only.
B)restitution only.
C)restitution and possibly punitive damages.
D)compensatory damages only.
To view all questions and flashcards with answers, click on the resource link above.
Page 21
Chapter 20: Practical Contracts
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46304
Sample Questions
Q1) Provisions that a party agrees to perform only if the other side also does what it promised are called
A)choice of forum provisions.
B)conditional promises.
C)reciprocal promises.
D)riders.
Q2) An honest effort to meet both the spirit and letter of the contract is termed
A)reasonable circumstances.
B)sole discretion.
C)honest representation.
D)good faith.
Q3) Compare and contrast the perspectives of a lawyer and a business client when approaching the negotiation of a contract.
Q4) You should hire a lawyer to review any legal papers you have to sign,especially such papers as lease agreements or car purchases.
A)True
B)False
Q5) Identify and explain at least four situations where a written contract is either necessary or recommended.
To view all questions and flashcards with answers, click on the resource link above. Page 22
Chapter 21: Introduction to Sales
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46305
Sample Questions
Q1) ABC Siding,Inc.manufactures aluminum siding.ABC enters into a contract to deliver siding to Slippery Siding,Ltd. ,a retailer of aluminum siding.The written agreement insists that all modifications to the agreement be in writing and signed by both parties.This prohibition against oral modifications is
A)valid regardless of whether the clause is signed separately.
B)invalid unless the clause is signed separately by Slippery Siding,Ltd.
C)invalid unless the clause is signed separately by ABC Siding,Inc.
D)invalid unless new consideration is supplied by the parties when the modification agreement is made.
Q2) Which of the following contracts is most likely to be declared unconscionable?
A)a consumer sales contract that charges 300 times the fair market value of the goods
B)a consumer sales contract that limits the consumer's remedies to repair or replacement
C)a contract between wholesaler and retailer that adds delivery charges at 15% of the costs of the goods
D)a sales contract between wholesaler and retailer that limits remedies such as consequential damages
To view all questions and flashcards with answers, click on the resource link above.
Page 23
Chapter 22: Ownership, Risk and Warranties
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46306
Sample Questions
Q1) You leave your watch with Bryte Jewelers for repair.Bryte cannot transfer ownership interests in the watch to a customer of the jewelry shop without your permission.
A)True
B)False
Q2) A tag attached to a tree in a nursery identifying the tree as a Southern Magnolia creates an express warranty.
A)True
B)False
Q3) Generally,a contract may include language that limits or alters the damages recoverable for a breach of warranty,as long as the restrictions are not unconscionable.
A)True
B)False
Q4) Angela uses fraudulent means to induce Walter to enter a sales contract.Angela obtains a voidable title to the goods.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 24
Chapter 23: Performance and Remedies
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46307
Sample Questions
Q1) A seller may not make repairs or adjustments after the goods have been tendered,even if that action will bring the goods into conformity in order to "cure" nonconforming goods.
A)True
B)False
Q2) "Course of dealing" refers to prior commercial transactions between the same parties.
A)True
B)False
Q3) A buyer may revoke an acceptance of goods if
A)the nonconformity does not impair the value of the goods.
B)the buyer had a legitimate reason for the initial acceptance.
C)the buyer knew the nonconformity could not be cured.
D)the buyer thought they could easily cover.
Q4) Identify the possible remedies for a seller when the buyer breaches a contract.
Q5) What is the "perfect tender rule" and what restrictions has the UCC put into place that limit the perfect tender rule's effect?
Q6) Define these terms: usage of trade,course of dealing,and course of performance and identify how they are used according to the UCC.
Page 25
To view all questions and flashcards with answers, click on the resource link above.
Chapter 24: Secured Transactions
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46308
Sample Questions
Q1) Wedney,Inc.has a purchase money security interest in one of Yoro Chicken's meat processing machines.Wedney filed a financing statement on the day the machine was delivered,perfecting its interest.Great State Bank already had a security interest in the machine.Which party has superior priority rights in the meat processing machine?
A)Wedney.A PMSI in collateral other than inventory takes priority over a conflicting security interest if the PMSI is perfected at the time the debtor receives the collateral or within 20 days after he receives it.
B)Great State Bank,since it had an earlier security interest.
C)The party who is first to repossess the collateral has priority rights.
D)The creditors have equal priority.
Q2) Landscaper Lottie used her machinery,employee labor,and her expertise to landscape Opal's new guest home.Opal fails to pay for the landscaping because she has run out of money.Lottie files a lien against the real property.This lien is called a(n)
A)artisan's lien;her landscape design is a work of art.
B)landlord's lien;Opal is planning to rent the guest house to a tenant.
C)mechanic's lien;it was created by improving real property.
D)purchase money security interest.
Q3) Explain the difference between attachment and perfection.
To view all questions and flashcards with answers, click on the resource link above. Page 26
Chapter 25: Creating a Negotiable Instrument
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46309
Sample Questions
Q1) Tim wrote a negotiable note.Subsequently,Tim's debts were discharged in bankruptcy.If a holder in due course presents the note for payment,Tim does not have to pay.
A)True
B)False
Q2) Tim buys a high-powered tool from Binford Tools to use on the construction of his own garage.Binford Tools provides a full warranty on the tool for the first six months.To pay for the tool,Tim signs a negotiable promissory note which contains the FTC Consumer Credit Notice.Binford properly negotiates the note to First Finance.Within three weeks,the tool stops working and Binford refuses to repair or replace it.In the meantime,First Finance demands payment from Tim.Under the Federal Trade Commission rules,this consumer credit situation means First Finance
A)can collect if it is a holder in due course.
B)can collect if it is not a holder in due course.
C)can collect whether or not it is a holder in due course.
D)cannot collect.
Q3) Commercial paper is a contract to pay money.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 27
Chapter 26: Liability for Negotiable Instruments
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46310
Sample Questions
Q1) Dwight Stringer signed three promissory notes as an agent for his company.The first,he signed "Dwight Stringer,agent for Park Systems,Inc." The second,he signed "Dwight Stringer,Agent." The third note was signed merely "Park Systems,Inc." Discuss the liability of Dwight and Park Systems,Inc.on each of the notes.
Q2) Explain when presentment warranties apply.Identify the presentment warranties on a check and a promissory note.
Q3) Warranty liability is the liability of someone who gives payment on a negotiable instrument.
A)True
B)False
Q4) List and explain the five different ways to discharge an instrument according to Article 3 of the UCC.
Q5) Anyone who presents a check for payment makes certain warranties.Which of the following is NOT one of those warranties?
A)that he or she is a holder
B)that the check has not been altered
C)that the drawee is a solvent institution
D)that all signatures are authentic
To view all questions and flashcards with answers, click on the resource link above. Page 28
Chapter 27: Accountants Liability
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46311
Sample Questions
Q1) Criminal liability for accountants
A)is not an option under securities law;there is only civil liability.
B)is possible under the Securities Act of 1933,the 1934 Act,state securities laws,and the Internal Revenue Code.
C)may result in fines but not imprisonment from violation of the federal securities laws.
D)will result from violation of the accountant-client privilege under federal law.
Q2) After completing an audit,the most unfavorable opinion an auditor can issue is a disclaimer of opinion.
A)True
B)False
Q3) Accounting contracts can be either written or oral.
A)True
B)False
Q4) What was at issue in the case Oregon Steel Mills,Inc.v.Coopers & Lybrand,LLP?
A)whether an accounting firm was liable for its client's loss
B)whether the Securities Act of 1933 was constitutional
C)the extent of liability a fraudulent accountant should assume
D)breach of the accountant-client privilege
To view all questions and flashcards with answers, click on the resource link above. Page 29
Chapter 28: Agency Law
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46312
Sample Questions
Q1) Cameron,editor of the local newspaper,assigned to Jim the writing of a story about pollution of a nearby stream.Although Jim used reasonable care in gathering and checking his information,unknown to Jim,the story contained a defamatory statement about Maureen.Maureen reads the story and sues Jim for libel.Cameron,who read and published the story
A)must indemnify Jim for Maureen's claim.
B)need not indemnify Jim for Maureen's claim because Jim should have checked his facts more carefully.
C)need not indemnify Jim for Maureen's claim because Jim breached his duty to obey instructions.
D)can recover damages from Jim for any injury to the newspaper resulting from Jim's story.
Q2) The principle of liability stating that an employer is liable for a physical tort committed by an employee acting within the scope of employment and a nonphysical tort of an employee acting with authority is called
A)the equal dignities rule.
B)respondeat superior.
C)fiduciary control.
D)apparent authority.
To view all questions and flashcards with answers, click on the resource link above.
Page 30
Chapter 29: Employment and Labor Law
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46313
Sample Questions
Q1) When may an employer require an employee to submit to a lie detector test?
A)when the employee has been hired for less than 90 days
B)when the test is part of an ongoing investigation into crimes that have occurred
C)when the employer has reason to believe the employee is using illegal drugs on the job
D)when all employees are being questioned using a lie detector
Q2) There is a higher percentage of workers in labor unions now than at any other point in history.
A)True
B)False
Q3) Discuss the requirements of the Family and Medical Leave Act.
Q4) Valley Mart told its employees that they would be fired if they actively supported a unionizing effort.Valley Mart has committed an unfair labor practice.
A)True
B)False
Q5) Rick and Allan want to start a union in the small factory where they work.Outline the basic procedures they will need to follow to get a union recognized as the exclusive bargaining unit for the company employees.
To view all questions and flashcards with answers, click on the resource link above. Page 31
Chapter 30: Employment Discrimination
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46314
Sample Questions
Q1) Explain the Title VII requirements on affirmative action,and identify three sources of affirmative action programs.
Q2) Title VII of the Civil Rights Act of 1964 applies to employers with any number of employees,making it illegal to discriminate on the basis of race,color,religion,sex,or national origin.
A)True
B)False
Q3) What accommodations might an employer be expected to make for a disabled employee? What standard is used to determine whether an employer would be expected to make these accommodations?
Q4) There are four types of illegal activity under the Civil Rights Act of 1964.Which choice lists these four?
A)disparate treatment,disparate impact,hostile environment,and retaliation
B)disparate employment,unfair promotions,hostile environment,and unfair firing
C)false reports,retaliation,prima facie discrimination,sexual harassment
D)religious disparaging,racial profiling,sexual harassment,unfair promotions
Q5) Discuss the two categories of sexual harassment.
Q6) What is the process for filing a suit under Title VII of the Civil Rights Act?
To view all questions and flashcards with answers, click on the resource link above. Page 32
Chapter 31: Starting a Business: Llcs and Other Options
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46315
Sample Questions
Q1) Daniel,his parents,and three brothers own all the stock of their family farm corporation,and each person takes an active role in managing the enterprise.This corporation,which is taxed as a corporation,is most likely a(n)
A)S corporation.
B)professional corporation.
C)close corporation.
D)proprietorship.
Q2) Harold and Zack have pooled their money together to buy real estate but have filed no formal papers to form a business.Harold,a lawyer,handles all the legal matters and Zack,a real estate broker,finds buyers for the property they have subdivided.Harold and Zack are engaged in a A)partnership.
B)close corporation.
C)limited liability company.
D)professional corporation.
Q3) A limited liability company,unlike an S corporation,can have members that are corporations,partnerships,or nonresident aliens.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 33
Chapter 32: Partnerships
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46316
Sample Questions
Q1) A partnership can only be held liable for the partners' authorized acts.
A)True
B)False
Q2) Elion was a partner in a partnership.Elion's death would be considered a wrongful dissociation.
A)True
B)False
Q3) Alicia and Ted have a written agreement wherein they will share the losses of their joint business.This agreement is strong evidence they are partners.
A)True
B)False
Q4) Andy,Becky,and Charlie formed a partnership.Their business was to create Web pages for students.They would take a person's academic and career information and make an attractive Web page.Andy supplied the computer and technical advice.Becky was the business manager.Charlie did the bulk of the marketing.Charlie and Becky became irritated with Andy,as it seemed they did more work than he did.Charlie and Becky decided to end their partnership with Andy.During the winding-up process,how are the assets of the partnership paid out?
Q5) Identify and briefly discuss the management rights and duties of a partner.
To view all questions and flashcards with answers, click on the resource link above. Page 34
Chapter 33: Life and Death of a Corporation
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46317
Sample Questions
Q1) MegaCorp is incorporated under Delaware law.It is registered to do business in New York.Legally,in New York MegaCorp is known as what kind of corporation?
A)domestic
B)foreign
C)secondary
D)cumulative
Q2) MegaCorp has five directors.The company has 1,050 shares of voting stock.Jessica would like to purchase enough stock to elect herself to the board of directors.The company allows for cumulative voting.Explain the concept of cumulative voting and also state how many shares of MegaCorp stock Jessica will need to own to assure herself a place on the board of directors.
Q3) What are some of the advantages for a business to incorporate in Delaware?
Q4) What is the first step that must be taken to terminate a corporation?
A)filing
B)vote
C)revocation
D)winding up
Q5) Discuss how a corporation is terminated.
To view all questions and flashcards with answers, click on the resource link above. Page 35
Chapter 34: Management Duties
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46318
Sample Questions
Q1) Which of the following is the most appropriate term to use when describing management's duty to its shareholders?
A)official duty
B)legal duty
C)fiduciary duty
D)statutory duty
Q2) Tender offers are regulated on the federal level by the National Labor Relations Act.
A)True
B)False
Q3) A manager who has engaged in self-dealing has violated the duty of loyalty to the corporation,unless the self-dealing was entirely fair to the corporation.
A)True
B)False
Q4) States are not involved in the regulation of corporate takeovers.
A)True
B)False
Q5) Discuss the purposes of the business judgment rule.
Q6) What is the definition of the business judgment rule?
To view all questions and flashcards with answers, click on the resource link above. Page 36
Chapter 35: Shareholder Rights
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46319
Sample Questions
Q1) In a derivative lawsuit,the named plaintiff
A)is the corporation on whose behalf the lawsuit is filed.
B)is the particular class of shareholders primarily injured by the wrong.
C)consists of all the corporation's shareholders.
D)is the board of directors for the corporation.
Q2) A corporation is required to have at least one class of stock with voting rights.
A)True
B)False
Q3) Meredith,a shareholder in Quarto,Inc. ,notified Quarto's board of directors that the corporation had been wronged and asked the board to bring a lawsuit in the corporation's name.In response to Meredith's demand,the board
A)can file suit on behalf of the corporation.
B)can reject Meredith's demand or simply fail to respond.
C)can appoint a Special Litigation Committee.
D)can do any of these options.
Q4) Under both state and federal law,a shareholder can generally revoke a proxy at any time.
A)True B)False
To view all questions and flashcards with answers, click on the resource link above. Page 37
Chapter 36: Bankruptcy
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46320
Sample Questions
Q1) Which of the following statements concerning a Chapter 11 reorganization plan is true?
A)A reorganization plan will be confirmed by the court only if a majority of each class of creditors votes in favor of the plan.
B)A reorganization plan can be confirmed by the court over objections of some creditors if the court determines that the plan is feasible and fair.
C)Only the bankruptcy court has the authority to confirm or reject the reorganization plan.Creditors do not have a right to vote on the plan.
D)A reorganization plan binds only the debtor and not the creditors.
Q2) Chapter 7 bankruptcy petitions may only be filed voluntarily.
A)True
B)False
Q3) The correct order of payment of claims from the debtor's estate would be
A)secured claims,priority claims,unsecured claims.
B)secured claims,unsecured claims,priority claims.
C)priority claims,secured claims,unsecured claims.
D)priority claims,unsecured claims,secured claims.
To view all questions and flashcards with answers, click on the resource link above.
Page 38
Chapter 37: Securities Regulation
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46321
Sample Questions
Q1) MegaCorp wishes to sell $25 million of securities.The only investors will be 20 unaccredited investors.Which of the following applies to this offering?
A)Rule 504,option 1 of Regulation D of the 1933 Act
B)Rule 505 of Regulation D of the 1933 Act
C)Rule 506 of Regulation D of the 1933 Act
D)Rule 504,option 2 of Regulation D of the 1933 Act
Q2) Ed,a vice-president of Palmette Products,Inc. ,buys 1,000 shares of his company's stock on June 15.His son has medical problems in September,and Ed sells the stock at a profit.Under Section 16,Ed
A)must turn over to Palmette any profits he made on the sale.
B)may keep any profits on the sale since he had a good reason to sell and was not selling in order to manipulate the market.
C)may keep the profits from the sale as long as he reported his sale to the SEC within two business days.
D)may keep any profits from the sale if he did not act on secret information when he sold the shares.
Q3) Discuss the process an issuer follows for either an IPO or a secondary offering.
To view all questions and flashcards with answers, click on the resource link above.
Page 39
Chapter 38: Antitrust
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46322
Sample Questions
Q1) Assume that three automobile manufacturers all merged into one car company.Such a merger would be a
A)vertical merger.
B)vertical cooperative arrangement merger.
C)horizontal merger.
D)intracompetitive merger.
Q2) An advocate of the Chicago School's position on antitrust legislation would ask which of the following questions?
A)"Has a competitor been harmed?"
B)"Has competition been harmed?"
C)"Will competitors be allowed to freely enter the market?"
D)"Will interstate commerce be affected?"
Q3) In vertical price-fixing,the manufacturer sets the
A)minimum prices that retailers may charge.
B)maximum prices that retailers may charge.
C)number of items a retailer may sell at a specific price.
D)date by which a retailer must sell products.
Q4) Reciprocal dealing is a type of vertical cooperative strategy.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 39: Consumer Protection
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46323
Sample Questions
Q1) Consumers may keep as a gift any unordered merchandise that they receive in the mail.
A)True
B)False
Q2) Chase received a magazine in the mail that he did not order.He was surprised,but read and enjoyed the magazine.A month later,another copy arrived,along with a bill for $25 to cover the subscription.Which of the following applies to this situation?
A)Chase does not have to pay for the magazine,even if the company continues to send it to him.
B)Chase needs to return the two copies of the magazine he received to show that he is not interested.
C)Chase must notify the magazine whether or not he wants to continue receiving the magazine within 30 days.
D)Chase must pay the bill because the magazine company is entitled to be paid for sending out subscriptions.
Q3) The Truth in Lending Act applies to private individuals who loan money.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 40: Environmental Law
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46324
Sample Questions
Q1) Under the ______ administration,the United States withdrew from the Paris Accord,an international agreement to prevent climate change.
A)Nixon
B)Reagan
C)Obama
D)Trump
Q2) Local regulation is more effective than state or federal regulation in controlling air pollution.
A)True
B)False
Q3) What administrative agency regulates pesticides,insecticides,fungicides,and rodenticides?
A)Food and Drug Administration
B)Occupational Safety and Health Administration
C)Environmental Protection Agency
D)Nuclear Regulatory Commission
Q4) Discuss the purpose of the Paris Accord and its relationship to the United States.
Q5) Discuss the major provisions of the Clean Air Act.
To view all questions and flashcards with answers, click on the resource link above. Page 42
Chapter 41: Intellectual Property
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46325
Sample Questions
Q1) Southern Bar-B-Q owns a special,secret recipe for sauce which it guards because it gives the restaurant a competitive advantage.If Mort willfully misappropriates the recipe,a court may hold him liable to Southern for double damages.
A)True
B)False
Q2) The vast majority of patents that are issued are
A)design patents.
B)plant patents.
C)utility patents.
D)intellectual patents.
Q3) A copyright is valid for 28 years after it is obtained and can be renewed for another 28 years.
A)True
B)False
Q4) Which of the following cases concerned a trade secret?
A)Association for Molecular Pathology v.Myriad Genetics,Inc.
B)Bikram's Yoga College of India,L.P.v.Evolation Yoga,LLC
C)AMF Inc.v.Sleekcraft Boats
D)CDM Media USA,Inc.v.Simms
To view all questions and flashcards with answers, click on the resource link above. Page 43
Chapter 42: Real Property and Landlord Tenant Law
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46326
Sample Questions
Q1) If the court awards a partition to co-tenants,the court will normally attempt a partition by kind.If partition by kind is impossible because there is no fair way to divide the property,the court will order the real estate sold and the proceeds equally divided.
A)True
B)False
Q2) The bank who lends money in exchange for a mortgage on the borrower's house is considered to be the
A)mortgagee.
B)mortgagor.
C)profitor.
D)profitee.
Q3) If a customer trips and falls over a rip in the carpet in a retail store,who is liable under common law rules?
A)The customer is liable because he didn't watch where he was going.
B)The landlord alone is liable for not maintaining the property.
C)The tenant alone is liable for not informing the landlord of the defective carpet and getting it repaired.
D)The landlord and the tenant are probably both liable.
To view all questions and flashcards with answers, click on the resource link above. Page 44
Chapter 43: Personal Property and Bailment
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46327
Sample Questions
Q1) Griffith Manufacturing ships 40 crates of goods by Trusty Shipping,a common carrier.Trusty offers Griffith a shipping rate of $725 for a limited liability of $5,000 or a rate of $975 for full liability for any harm to the goods.Griffith chooses the $725 rate.In transit,Trusty's driver has an accident during an ice storm and all of Griffith's goods are destroyed,causing a loss of $12,000.If Griffith sues Trusty,
A)Trusty will be liable for only $5,000 because a common carrier is allowed to limit its liability by contract.
B)Trusty will be liable for the full $12,000 because common carriers have strict liability.
C)Trusty will automatically be liable for the full $12,000 under the Carmack Amendment.
D)Trusty is subject to normal bailment rules and can escape liability for any damage to the goods by proving that it exercised due care of the property and that the loss was caused by an act of God.
Q2) All bailments have to be by agreement between the bailor and bailee.
A)True
B)False
Q3) Distinguish between a contract and a gift.Give an example of each.
To view all questions and flashcards with answers, click on the resource link above. Page 45
Chapter 44: Planning for the Future: Wills, Trusts and Insurance
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/46328
Sample Questions
Q1) Reva prepares and signs a document that she intends to be her will.If she has not followed the legal technicalities of her state regarding executing a will,the court may not enforce the will.
A)True
B)False
Q2) A later will revokes a prior will only if that revocation is clearly stated. A)True
B)False
Q3) The cheapest life insurance option is A)straight life insurance. B)whole life insurance. C)casualty insurance.
D)term insurance.
Q4) Singleton,an 80-year-old widower,remarried.The next day,he made a will leaving everything to his son,Joey.A week after his marriage,Singleton died.How will his estate be handled?
Q5) An executor who is related to the testator is not entitled to compensation.
A)True B)False
Q6) Discuss the differences between a will and a trust. Page 46
To view all questions and flashcards with answers, click on the resource link above. Page 47