Corporate Law
Study Guide Questions
Course Introduction
Corporate Law provides an in-depth exploration of the legal principles governing the formation, operation, and dissolution of corporations. The course examines the rights and responsibilities of corporate stakeholders, including shareholders, directors, and officers, and analyzes key topics such as fiduciary duties, corporate governance, mergers and acquisitions, and regulatory compliance. Students will study landmark statutes and judicial decisions shaping corporate conduct, as well as contemporary issues involving corporate social responsibility, shareholder activism, and global business practices. This course equips students with the foundational legal knowledge essential for advising corporations and understanding the complexities of business law in a dynamic economic environment.
Recommended Textbook
Contemporary Business Law 8th Edition by
Henry R. Cheeseman
Available Study Resources on Quizplus
41 Chapters
4106 Verified Questions
4106 Flashcards
Source URL: https://quizplus.com/study-set/590
Page 2
Chapter 1: Legal Heritage and the Digital Age
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11080
Sample Questions
Q1) ________ are established by the legislative and executive branches of the federal government to enforce and interpret statues enacted by the Congress and state legislatures.
A) Commissaries
B) State courts
C) Administrative agencies
D) Councils
Answer: C
Q2) The U.S.government passed draft laws during the Vietnam War decreeing that men of a certain age had to serve in the military if they met physical requirements.Which of the following schools of jurisprudential thought do such draft laws adhere to?
A) the Historical School of jurisprudential thought
B) the Natural Law School of jurisprudential thought
C) the Sociological School of jurisprudential thought
D) the Command School of jurisprudential thought
Answer: D
To view all questions and flashcards with answers, click on the resource link above. Page 3
Chapter 2: Constitutional Law for Business and
E-commerce
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11081
Sample Questions
Q1) Which of the following is a form of limited protected speech?
A) defamatory language
B) speech that incites the violent or revolutionary overthrow of the government
C) dangerous speech
D) offensive speech
Answer: D
Q2) The Supreme Court has applied the incorporation doctrine and held that most of the fundamental guarantees contained in the Bill of Rights are applicable to state and local government action.
A)True
B)False
Answer: True
Q3) Under the rational basis test,the courts will uphold government regulation as long as there is a justifiable reason for the law.
A)True
B)False
Answer: True
To view all questions and flashcards with answers, click on the resource link above.
Page 4
Chapter 3: Courts and Jurisdiction
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11082
Sample Questions
Q1) Jill wins a lawsuit against Terry in the Wyoming state court.The court passes a judgment for Terry to pay $20,000 to Jill.Immediately after the case is settled,Terry moves to Colorado,where she owns a house,and refuses to pay Jill the money.Which of the following is the best course of action for Jill?
A) file a lawsuit against Terry in a Colorado state court to enforce the Wyoming court judgment
B) file another case against Terry in the Wyoming state court to collect the money against Terry's property
C) file a case against Terry in Wyoming to force Terry to sell her house in Colorado to pay the money
D) file a case in the Colorado federal court as this qualifies as a federal question case
Answer: A
Q2) There is no dollar-amount limit on federal question cases that can be brought in federal court.
A)True
B)False
Answer: True
To view all questions and flashcards with answers, click on the resource link above. Page 5
Chapter 4: Judicial Alternative Administrative and E-Dispute Resolution
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11083
Sample Questions
Q1) Analyze how facts pertaining to a case are uncovered in the process of discovery.
Q2) Litigation is a difficult,time-consuming,and costly process that must comply with complex procedural rules.
A)True
B)False
Q3) A default judgment establishes the plaintiff's liability.
A)True
B)False
Q4) During a cross-examination,a defendant's attorney can ask questions that were not part of the direct examination.
A)True
B)False
Q5) Which of the following statements is true about appeals?
A) Only the plaintiff can appeal the court's decision in a civil case.
B) Only the defendant can appeal the court's decision in a criminal case.
C) An appeal can be made before the trial court gives its final judgment.
D) An appellate court cannot reverse a lower court's decision.
Q6) Discuss the importance of the delegation doctrine to administrative agencies.
Q7) Why does a class action occur? How does one maintain a class action lawsuit?
To view all questions and flashcards with answers, click on the resource link above. Page 6
Chapter 5: Intentional Torts and Negligence
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11084
Sample Questions
Q1) Tina Harley was on her way home when an assailant stopped her car and threatened to physically harm her if he ever saw her drive on that street again.Tina can sue the assailant to recover damages for ________.
A) assault
B) slander
C) libel
D) disparagement
Q2) Negligence per se is a tort that permits a person to recover for emotional distress caused by the defendant's negligent conduct.
A)True
B)False
Q3) Legal cause is defined as a point along a chain of events caused by a negligent party after which this party is no longer legally responsible for the consequences of his or her actions.
A)True
B)False
Q4) Compare and contrast contributory negligence and comparative negligence.
Q5) Elaborate on the reason for the existence of the doctrine of proximate cause.
Q6) Differentiate between assumption of risk and intervening events with an example.
To view all questions and flashcards with answers, click on the resource link above. Page 7
Chapter 6: Criminal Law and Cyber Crimes
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11085
Sample Questions
Q1) "Probable cause" is most directly associated with which step of the criminal process?
A) arrest
B) indictment
C) plea bargaining
D) arraignment
Q2) Which of the following best describes criminal conspiracy?
A) It refers to the use of mail or wires to defraud a person.
B) It refers to cooking up records to legitimize money gained through crime.
C) It refers to obtaining a property from a person through wrongful use of violence and intimidation.
D) It refers to an agreement entered between two or more persons to commit a crime.
Q3) A person found speeding is considered to have committed a(n)________.
A) indictable offence
B) violation
C) felony
D) misdemeanor
Q4) Explain felony murder rule with an example.
Q5) Explain attorney-client privilege with an example.
To view all questions and flashcards with answers, click on the resource link above. Page 8
Chapter 7: Intellectual Property and Cyber Piracy
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11086
Sample Questions
Q1) Which of the following would be considered to be a part of intellectual property?
A) buildings
B) vehicles
C) mortgage contracts
D) patents
Q2) ''A Diamond is Forever'' is a famous tagline used by The De Beers Diamond Company.Which of the following types of intellectual property would this tagline come under?
A) patent
B) trade secret
C) trademark
D) copyright
Q3) Which of the following can be patented as a utility patent?
A) a lithograph of a court proceeding
B) a theory involving intangible abstractions
C) a sound recording of an opera
D) a schematic depiction of a motor
Q4) Contrast registered and unregistered marks and evaluate the advantages of the former over the latter.
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 8: Ethics and Social Responsibility of Business
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11087
Sample Questions
Q1) Which of the following moral theories would closely follow the categorical imperative "Do unto others as you would have them do unto you"?
A) Kantian ethics
B) moral relativism
C) utilitarianism
D) Rawls's social justice theory
Q2) Which of the following moral theories will help an anthropologist study ancient societies with an impartial and unprejudiced mindset,especially when it relates to ethics and customs followed by ancient societies to that being followed in present societies?
A) Rawls's social justice theory
B) utilitarianism
C) Kantian ethics
D) ethical relativism
Q3) Kantian ethics is also referred to as ________ ethics.
A) relativistic
B) utilitarian
C) duty
D) nihilistic
Q4) Explain corporate citizenship with an example.
To view all questions and flashcards with answers, click on the resource link above. Page 10
Chapter 9: Nature of Traditional and E-Contracts
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11088
Sample Questions
Q1) What is the importance of quasi-contracts?
Q2) Windsor,the owner of Windsor's Sandwiches,contacts a new supplier Gary.He tells Gary that he will pay him $375 if Gary delivers 20 pounds of cheese.Gary promises to make the delivery as requested by Windsor.This creates a ________ contract between them.
A) unilateral
B) bilateral
C) implied-in-law
D) executory
Q3) An implied-in-law contract is one based on the conduct of the parties.
A)True
B)False
Q4) The doctrine that is imposed when one person confers a benefit on another,who retains the benefit,and when it is unjust to allow the recipient to retain the benefit without paying for it is known as ________.
A) quasi-contract
B) pseudo-contract
C) unilateral contract
D) bilateral contract
Q5) What are the possible problems that can come up in a unilateral contract?
Page 11
To view all questions and flashcards with answers, click on the resource link above.
Chapter 10: Agreement and Consideration
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11089
Sample Questions
Q1) The mailbox rule is a rule which states that for an acceptance to exist,the offeree must accept the terms as stated in the offer.
A)True
B)False
Q2) Quentin is a member of the Album of the Month Club and receives a new music CD every month without fail.The Club usually gives its members a time period within which they can reject the selection and stop shipment of the CD,failing which the CD will be shipped.Last month,Quentin received a CD from the Club,a copy of which a friend had already gifted him.He had not found time to reject the offer as he was busy.Quentin could not reject the CD and had to buy it.What kind of an offer-acceptance is exemplified in this scenario?
A) mirror image rule acceptance
B) silence as acceptance
C) acceptance-upon-dispatch
D) unequivocal acceptance
Q3) How is a revocation similar to a counteroffer? Explain both.
Q4) Can an offer be accepted if it is not communicated to the offeree by the offeror? Explain with an example.
Q5) Analyze the requirements of a consideration.
To view all questions and flashcards with answers, click on the resource link above. Page 12
Chapter 11: Capacity and Legality
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11090
Sample Questions
Q1) An exculpatory clause can be used in situations involving intentional torts.
A)True
B)False
Q2) Darren is a certified interior designer with a lucrative client list in the city of Kelsa,situated in the state of Touslon.His business affords him a substantial amount of goodwill from his clients.Darren sells his accounting interior designing business to Glenda.When he sells his business to Glenda,Darren agrees not to open another interior designing firm in the city of Kelsa for a 25-year period.What kind of agreement exists between Darren and Glenda in this case?
A) contract in restraint of trade
B) covenant not to compete
C) unconscionable contract
D) quasi-contract
Q3) The release of the liability clause is also known as the ________ clause.
A) exculpatory
B) exclamatory
C) tort
D) noncompete
Q4) Explain the concept of an exculpatory clause with an example.
Q5) Define emancipation and list a few possible reasons for its occurrence.
To view all questions and flashcards with answers, click on the resource link above. Page 13
Chapter 12: Genuineness of Assent and Statute of Frauds
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11091
Sample Questions
Q1) The term scienter means ________.
A) good faith
B) innocent heart
C) bad faith
D) guilty mind
Q2) Intentional misrepresentation is commonly referred to as ________.
A) erroneous misrepresentation
B) fraud
C) duress
D) undue influence
Q3) Which of the following must be proved to show undue influence?
A) mutual agreement between two parties
B) dominance on the servient party
C) nonexistence of a relationship between two parties
D) free will of the innocent party
Q4) A contract that is entered into by means of fraudulent misrepresentation can be rescinded by the innocent party.
A)True
B)False
Q5) What is parol evidence? Discuss the parol evidence rule and its exceptions.
Page 14
To view all questions and flashcards with answers, click on the resource link above.
Chapter 13: Third-Party Rights and Discharge
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11092
Sample Questions
Q1) A contract between a retailer and a supplier provides that payment is due upon delivery of goods by the supplier.The retailer's duty to pay and the supplier's duty to deliver constitutes ________.
A) an implied condition
B) a condition precedent
C) a condition subsequent
D) concurrent conditions
Q2) The unconditional assignment of a contract right extinguishes all of the assignee's rights from the contract.
A)True
B)False
Q3) Unilateral rescission of a contract by one of the parties without the other's consent is enough to discharge an agreement.
A)True
B)False
Q4) Third parties cannot acquire any rights under other people's contracts at any time.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 15
Chapter 14: Breach of Contract and Remedies
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11093
Sample Questions
Q1) Rescission and restitution restore the parties to the positions they occupied prior to the contract.
A)True
B)False
Q2) The most common remedy for a breach of contract is an award of ________.
A) injunctions
B) substitute contracts
C) reformations
D) monetary damages
Q3) When does a minor breach occur?
A) when a party rescinds the contract before actual work on the contract has commenced
B) when a party renders substantial performance of his or her contractual duties
C) when the party who is being offered goods or services rescinds the contract
D) when the party who is offering goods or services rescinds the contract
Q4) When a party commits an anticipatory breach,the nonbreaching party ________.
A) must wait until the performance was due before suing
B) is immediately discharged from his or her own duties
C) cannot seek damages because he or she received advance notice of the breach
D) loses his or her right to sue after the due-date for performance is reached
Page 16
To view all questions and flashcards with answers, click on the resource link above.
Chapter 15: Digital Law and E-Commerce
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11094
Sample Questions
Q1) For trademark laws to be enforced,the cybersquatters have to distribute goods and services under the trademark name.
A)True
B)False
Q2) The ECPA provides that injured parties may sue for civil damages over violations of the ECPA.
A)True
B)False
Q3) According to the E-SIGN Act,consumers must consent to receiving electronic records and contracts.
A)True
B)False
Q4) How is a domain name registrant held as a cybersquatter under the Anticybersquatting Consumer Protection Act? What are the consequences he or she is likely to face?
Q5) Counteroffers against electronic agents that do not have the ability to evaluate the offer cannot be enforced.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 17
Chapter 16: Formation of Sales and Lease Contracts
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11095
Sample Questions
Q1) Kimberley,a merchant-seller in Kansas,had an oral contract to sell goods to Jane,a merchant-buyer in Memphis for $100,000.Two days after contracting,Kimberley sends a sufficient written confirmation of the agreed-upon transaction to Jane.Jane,who has reason to know the contents of the written confirmation,fails to object to the contents of the confirmation immediately.Two weeks after receiving the written confirmation,Jane receives a delivery of the goods from Kimberley.Jane immediately sends an objection to the confirmation to Kimberley.Which of the following is true of the contract between Kimberley and Jane?
A) The Statute of Frauds can be raised against the contract because a letter of objection was sent to the offeror.
B) The offer is valid as the offeree knew the contents of the confirmation and did not object within 10 days.
C) The contract is void as the offeror did not receive a letter of confirmation from the offeree for delivery.
D) The Statute of Frauds can be raised because the offeree did not sign the contract.
Q2) How does the Uniform Commercial Code hold a contract with undetermined terms enforceable? Provide examples.
To view all questions and flashcards with answers, click on the resource link above. Page 18
Chapter 17: Title to Goods and Risk of Loss
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11096
Sample Questions
Q1) A destination contract is enforceable only if the place of delivery is the buyer's place of business.
A)True
B)False
Q2) Can a person with a voidable title transfer a good title to a buyer? If so,explain with an example.
Q3) Which of the following transactions represents a conditional sale?
A) entrustment sale
B) good faith sale
C) auction sale
D) consignment
Q4) Katie owns 100 pairs of shoes.All of Katie's shoes are present in a warehouse.Katie sells her 100 pairs of shoes to Jane.Jane agrees to pick up the shoes from the warehouse.Katie drives to Jane's house and drops off a warehouse receipt for the shoes.Jane then drives from her house to the warehouse to pick up the shoes.When does passage of title occur?
A) when Jane enters into the contract to buy the shoes from Katie
B) when Jane pays Katie for the shoes
C) when Katie drops off the warehouse receipt to Jane
D) when Jane goes to the warehouse and picks up the shoes
Page 19
To view all questions and flashcards with answers, click on the resource link above.
Chapter 18: Remedies for Breach of Sales and Lease Contracts
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11097
Sample Questions
Q1) The lessor can exercise the ________ to claim damages that would have resulted from the full performance of a breached contract plus an allowance for reasonable overhead and incidental damages.
A) right to replevy goods
B) right to cover
C) right to cure
D) right to recover any lost profits
Q2) Arnault Automobiles contracts with Glennworth Machines to purchase car engines for their new line of sports cars.After the engines are delivered by Glennworth,Arnault pays its contractual partner with a check that bounces.Which of the following rights can Glennworth Machines exercise in order to recover its engines?
A) right to replevy goods
B) right to reclaim goods
C) right to obtain specific performance
D) right to capture
Q3) The reversal of a buyer's acceptance is defined as revocation.
A)True
B)False
Q4) Define the lessee's right to cover and analyze its importance in contract law.
Page 20
To view all questions and flashcards with answers, click on the resource link above.
Chapter 19: Warranties and Product Liability
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11098
Sample Questions
Q1) Strict liability can be disclaimed.
A)True
B)False
Q2) A seller's "puffing" creates an express warranty.
A)True
B)False
Q3) Differentiate between the statute of limitations and the statute of repose.
Q4) Which of the following is true of strict liability?
A) Strict liability is liability with fault.
B) Only the manufacturer of a defective product is strictly liable for the injuries caused by that product.
C) Strict liability does not require the injured person to prove that the defendant breached a duty of care.
D) Defendants cannot claim monetary recovery in cases of strict liability.
Q5) When the containers of a product are not tamperproof,it is termed as a ________.
A) defect in manufacture
B) defect in design
C) defect in packaging
D) failure to warn
Q6) Is the crashworthiness doctrine a reasonable practice to adopt by a court?
Page 21
To view all questions and flashcards with answers, click on the resource link above.
Chapter 20: Creation and Transfer of Negotiable Instruments
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11099
Sample Questions
Q1) A ________ is an example of an order to pay.
A) lease
B) certificate of deposit
C) promissory note
D) check
Q2) Which of the following can be claimed by merely having possession of the instrument?
A) a certificate of deposit
B) an allonge
C) an order instrument
D) a bearer instrument
Q3) ________ of the UCC establishes rules for the creation of,transfer of,enforcement of,and liability on negotiable instruments.
A) Article 5
B) Article 3
C) Article 2
D) Article 2A
Q4) What are prepayment and acceleration clauses? How do these clauses help the borrower?
Q5) Discuss the methods of transferring checks.
To view all questions and flashcards with answers, click on the resource link above. Page 22
Chapter 21: Holder in Due Course and Liability of Parties
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11100
Sample Questions
Q1) The holder of a negotiable instrument can discharge the liability of any party to the instrument by ________.
A) cancellation of instrument
B) accommodation of instrument
C) indorsement of instrument
D) mutilation of instrument
Q2) Harold borrows $20,000 from Alex and signs a note promising to pay Alex this amount plus interest in one year.Alex negotiates the note to Reese,an HDC.Before the note is due,Harold declares bankruptcy and the court finds it to be true.According to the discharge in bankruptcy defense,which of the following is true in this scenario?
A) Reese can recover from Harold.
B) Reese can recover from Alex.
C) Alex can recover from Harold.
D) Reese cannot enforce the instrument.
Q3) What is the similarity between the fictitious payee rule and the imposter rule?
A) Both hold the drawee liable to the instrument.
B) Both hold the drawer liable to the instrument.
C) Both put the risk of loss on the forger.
D) Both put the risk of loss on the indorsee.
To view all questions and flashcards with answers, click on the resource link above.
Page 23
Chapter 22: Banking System and Electronic Financial Transactions
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11101
Sample Questions
Q1) What are altered checks? What are the actions that a bank can take when it encounters a case of check alteration?
Q2) Which of the following statements is true of certified checks?
A) Banks are obligated to certify checks that are for amounts greater than $10,000.
B) Certified checks are payable at any time from the date they are issued.
C) A drawer can stop payment on a certified check if it is indorsed.
D) Banks can charge a fraction of the check value as a fee for certifying it.
Q3) In a relationship that is created when a customer deposits money into the bank,the customer is the debtor.
A)True
B)False
Q4) Rachel,who owes Sam $500,draws a check payable to Sam on her checking account at City Bank.Rachel signs the check but leaves the amount blank.Sam fraudulently fills in $10,000 and presents the check to City Bank,which pays it.In this case,________.
A) City Bank can charge Rachel's account $ 10,000
B) City Bank cannot pay Sam the full amount
C) City Bank must charge Sam's account $10,000
D) City Bank must immediately contact Rachel
To view all questions and flashcards with answers, click on the resource link above. Page 24
Chapter 23: Credit, Real Property Financing, and Secured Transactions
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11102
Sample Questions
Q1) If two or more secured parties claim an interest in the same collateral but neither has a perfected claim,the first to attach has priority.
A)True
B)False
Q2) Floating lien refers to a security interest in property that was possessed by the debtor when the security agreement was executed.
A)True
B)False
Q3) ________ is a document filed by a secured party that ends a secured interest because the debt has been paid.
A) Financing statement
B) Claims statement
C) Perfection statement
D) Termination statement
Q4) Explain mortgage with an example.
Q5) Differentiate two-party and three-party secured transaction.
Q6) Financing statements are effective for one year from the date of filing.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 25
Chapter 24: Bankruptcy and Reorganization
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11103
Sample Questions
Q1) What is a homestead exemption?
A) investment in realty that a debtor must forfeit
B) equity in a home that a debtor is permitted to retain
C) remainder of the debtor's interest in commercial property that is returned to him after fulfilling creditors' claims
D) all of the debtor's assets converted to cash
Q2) A major benefit of ________ bankruptcy is that the debtor is given the opportunity to accept or reject certain executory contracts and unexpired leases.
A) Chapter 13
B) Chapter 11
C) Chapter 12
D) Chapter 7
Q3) A(n)________ provision is a provision whereby the court confirms a plan of reorganization over an objecting class of creditors if certain requirements are met.
A) cram-down
B) acceptance
C) discharge
D) liquidation
To view all questions and flashcards with answers, click on the resource link above.
26
Chapter 25: Agency law
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11104
Sample Questions
Q1) Principals are bound by authorized or unauthorized contracts made by their independent contractors.
A)True
B)False
Q2) An agency that occurs when a principal and an agent do not expressly create an agency,but is inferred from the conduct of the parties is known as ________.
A) apparent agency
B) agency by ratification
C) implied agency
D) agency coupled with an interest
Q3) Why is a principal not liable for injuries caused by its agents and employees while they are on their way to or from work? Discuss with an example.
Q4) Principals are not bound by the authorized contracts of their independent contractors.
A)True
B)False
Q5) Why is an agent not liable to the contracting party in a fully disclosed agency? Discuss the significance of an agent's signature.
To view all questions and flashcards with answers, click on the resource link above. Page 27
Chapter 26: Small Business, Entrepreneurship, and Partnerships
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11105
Sample Questions
Q1) ________ occurs when a partner contracts personally with the general partnership,such as buying or selling goods or property to the partnership.
A) Undisclosed self-dealing
B) Misuse of partnership property
C) Breach of confidentiality
D) Usurping of a partnership opportunity
Q2) A limited partner who takes an active part in managing a limited partnership
________.
A) will lose the right to receive profit distributions as a limited partner
B) will be entitled to reasonable compensation for the value of the managerial services provided
C) will be treated as a general partner and is liable only to parties who reasonably believe that he or she is a general partner
D) will be treated as a general partner and liable to all parties with whom he or she transacts business affairs
Q3) The agreement to form a general partnership must always be in writing.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 28
Chapter 27: Corporate Formation and Financing
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11106
Sample Questions
Q1) Which of the following would be considered an express power of a corporation?
A) opening a bank account
B) issuing notes and bonds
C) purchasing advertisement
D) purchasing insurance
Q2) Which of the following can dismiss the existence of a corporation?
A) voluntary termination by shareholder
B) death of a shareholder
C) bankruptcy of a shareholder
D) voluntary termination by the corporation's creditors
Q3) A(n)________ is a debt security with a maturity of five years or less.
A) bond
B) debenture
C) indenture
D) note
Q4) Privately held corporations are for-profit corporations that have hundreds or thousands of shareholders,and their shares are traded on organized securities markets.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 29
Chapter 28: Corporate Governance and the Sarbanes-Oxley Act
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11107
Sample Questions
Q1) Which of the following is true of shareholder voting agreements?
A) They are limited in duration.
B) They are specifically enforceable.
C) They are neither revocable nor irrevocable.
D) They are required to be filed with the corporation.
Q2) ________ are employees of a corporation who are appointed by the board of a corporation to manage the day-to-day operations of the corporation.
A) Ombudsmen
B) Corporate officers
C) Outside directors
D) Non-executive directors
Q3) The written document authorizing a proxy is also called a proxy.
A)True
B)False
Q4) Officers are liable on an unauthorized contract if the corporation does not ratify it.
A)True
B)False
Q5) Explain the effect of the Sarbanes-Oxley Act on corporate governance.
Q6) Define duty of loyalty and its connection with the business judgment rule.
To view all questions and flashcards with answers, click on the resource link above. Page 30
Chapter 29: Corporate Acquisitions and Multinational Corporations
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11108
Sample Questions
Q1) An employee stock ownership plan (ESOP)is expected to ________.
A) vote the shares it possesses against a potential acquirer in a proxy contest
B) help shareholders of the target corporation convert their shares for a greater number of shares of the acquiring corporation
C) aid shareholders of the target corporation convert their shares for a greater number of debt securities of the target corporation
D) sell the crown jewels it owns to friendly parties in order to distract a potential acquirer
Q2) Section 14(a)of the Securities Exchange Act of 1934 is a(n)________.
A) investment provision
B) antifraud provision
C) share exchange provision
D) antitakeover statute
Q3) The ________ is an amendment to the Securities Exchange Act of 1934 that specifically regulates tender offers.
A) Gramm-Leach-Bliley Act
B) Financial Services Modernization Act
C) Williams Act
D) Exon-Florio Foreign Investment Provision
To view all questions and flashcards with answers, click on the resource link above. Page 31
Chapter 30: Limited Liability Companies and Limited
Liability Partnerships
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11109
Sample Questions
Q1) Which of the following best defines the term distributional interest?
A) the ratio in which profit is distributed among members of an LLC
B) the process of distributing profits or losses according the capital investment of the member
C) the constitution of management of the LLC based on the extent of each member's financial investment
D) a member's ownership interest in an LLC that entitles the member to receive money and property from the LLC
Q2) A member's distributional interest in an LLC is ________ and may be transferred in whole or in part.
A) state property
B) the LLC's property
C) personal property
D) federal property
Q3) An LLC has the power to issue notes and bonds.
A)True
B)False
Q4) One of the partners of an LLP commits legal malpractice.Explain the consequences the LLP and its members would have to face if sued for the malpractice.
To view all questions and flashcards with answers, click on the resource link above. Page 32
Chapter 31: Franchise and Special Forms of Business
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11110
Sample Questions
Q1) Trade secrets qualify for copyright protection.
A)True
B)False
Q2) ________ involves payment for items purchased from the franchisor.
A) Leasing
B) Cost of supplies
C) Royalty fees
D) Initial license fee
Q3) How do the liabilities of joint venturers differ based on the operating form of the venture?
Q4) Which of the following statements is true of a joint venture?
A) The parties to a joint venture are considered as limited partners.
B) Both parties to a joint venture have equal rights to manage the venture.
C) A joint venture is a partnership that lasts for multiple projects.
D) Parties to a joint venture are exempt from fiduciary duties to each other.
Q5) The Uniform Franchise Offering Circular refers to a uniform disclosure document that requires a franchisee to make specific presale disclosures to prospective franchisors.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 33
Chapter 32: Investor Protection, E-Securities, and Wall Street Reform
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11111
Sample Questions
Q1) Which of the following has the largest trading volume of any securities exchange in the world?
A) NYSE
B) Euronext
C) NASDAQ
D) London Stock Exchange
Q2) The ________ period begins when the registration statement becomes active and runs until the issuer either sells all of the securities or withdraws them from sale.
A) prefiling
B) fixing
C) waiting
D) posteffective
Q3) A preliminary prospectus is a written disclosure document that must be submitted to the SEC along with the registration statement.
A)True
B)False
Q4) Preferred stock,bonds,debentures,and warrants are examples of common securities.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 34
Chapter 33: Antitrust Law and Unfair Trade Practices
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11112
Sample Questions
Q1) Determining the line of commerce that will be affected by a merger involves defining the relevant product or service market.
A)True
B)False
Q2) A private plaintiff has ________ years from the date on which an antitrust injury occurred to bring a private civil treble-damages action because only damages incurred during this period are recoverable.
A) three
B) two
C) five
D) four
Q3) Firms that attempt or conspire to monopolize a relevant market may be found liable under Section 2 of the Sherman Act.
A)True
B)False
Q4) The government may seek civil damages,but not treble damages,for violations of antitrust laws.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 35
Chapter 34: Consumer Safety and Environmental Protection
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11113
Sample Questions
Q1) A geographical area that does not meet established air quality standards is designated as a ________.
A) limited pollution area
B) nonattainment area
C) zoned ordinance area
D) federal regulation area
Q2) Which of the following is prohibited under the Clean Water Act?
A) inhabitation on inland areas in the vicinity of wetlands and marshes
B) chemical treatment of wastes to reduce toxicity before discharge into wetlands
C) construction of residences by filling qualified wetlands
D) creation of artificial lakes and waterways for recreation
Q3) Areas that are inundated or saturated by surface water or ground water that support vegetation typically adapted for life in such conditions are called ________.
A) lagoons
B) gullies
C) wetlands
D) reservoirs
Q4) How does the FDA define and regulate cosmetics?
Page 36
To view all questions and flashcards with answers, click on the resource link above.
Chapter 35: Labor, Worker Protection, and Immigration Laws
Available Study Resources on Quizplus for this Chatper
106 Verified Questions
106 Flashcards
Source URL: https://quizplus.com/quiz/11114
Sample Questions
Q1) Workers' compensation is a(n)________ remedy.
A) exclusive
B) cumulative
C) provisional
D) equitable
Q2) In which of the following situations can an employee sue an employer to recover employment-related injuries?
A) if the employer is self-insured
B) if the employer unintentionally injures a worker covered under workers' compensation
C) if the employee suffers an injury at work premises that is not related to work
D) if the employer intentionally injures a worker covered under workers' compensation
Q3) Enacted in 1932,the ________ is a federal statute which stipulates that it is legal for employees to organize.
A) National Labor Relations Act
B) Labor Management Relations Act
C) Taft-Hartley Act
D) Norris-LaGuardia Act
To view all questions and flashcards with answers, click on the resource link above.
Page 37
Chapter 36: Equal Opportunity in Employment
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11115
Sample Questions
Q1) Which of the following is considered a major physiological impairment by the Americans with Disabilities Act Amendments Act (ADAAA)?
A) the death of a loved one
B) a history of surgery
C) a temporary but contagious disease
D) cancer
Q2) U.S.citizens employed by U.S.-controlled companies in foreign countries are covered by Title VII.
A)True
B)False
Q3) Is it mandatory for employers to accommodate disabled employees? Explain the factors under which employers who do not make accommodations are not in violation of the Americans with Disabilities Act (ADA).
Q4) The ________ is a federal statute that prohibits age discrimination practices against employees who are 40 years and older.
A) FEPA
B) OWBPA
C) ADEA
D) EEOC
To view all questions and flashcards with answers, click on the resource link above. Page 38
Chapter 37: Personal Property, Bailment, and Insurance
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11116
Sample Questions
Q1) A deductible clause provides that an insured must pay a percentage of an insured loss.
A)True
B)False
Q2) Explain the accession method of acquiring ownership with an example.
Q3) For a bailment to be effective,the bailee must knowingly accept the personal property.
A)True
B)False
Q4) A personal articles floater provides insurance that cover specific valuable items.
A)True
B)False
Q5) A bailment at will cannot be terminated by a bailee before the expiration of the term.
A)True
B)False
Q6) Discuss the difference between comprehensive insurance and liability insurance.
Q7) Explain how the innkeepers' statutes limit the liability of innkeepers.
Q8) Explain coinsurance clause in insurance policies with an example.
To view all questions and flashcards with answers, click on the resource link above. Page 39
Chapter 38: Real Property, Landlord-Tenant Law, and Land Use Regulation
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11117
Sample Questions
Q1) A landowner constructs a multi-floor building where the zoning ordinance permits only a single-floor house.The ordinance does not cause the owner any hardship;however,the owner insists on obtaining a variance.What challenges would the owner face in this situation?
Q2) The person who is given a life estate is called the life assignee.
A)True
B)False
Q3) If a landowner believes that a zoning ordinance is illegal or that it has been unlawfully applied to his or her property,he or she may institute a court proceeding seeking judicial review of the ordinance or its application.
A)True
B)False
Q4) The ________ is a federal statute that makes it unlawful for a party to refuse to sell,rent,finance,or advertise housing to any person because of his or her race,color,national origin,sex,religion,disability,or family status.
A) Rent Stabilization Law of 1969
B) Americans with Disabilities Act of 1990
C) Fair Housing Act of 1968
D) Civil Rights Act of 1866
Page 40
To view all questions and flashcards with answers, click on the resource link above.
Chapter 39: Family Law, Wills, and Trusts
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11118
Sample Questions
Q1) When a person dies,a(n)________ is the person appointed to administer an estate during its settlement phase.
A) settlor
B) executor
C) testator
D) beneficiary
Q2) When does a doctrine of abatement apply to a will? Explain with examples.
Q3) Which of the following beneficiaries is considered a lineal descendant of the testator?
A) a parent
B) a child
C) a spouse
D) a sibling
Q4) People who do not want their life prolonged indefinitely by artificial means are not allowed to make a living will.
A)True
B)False
Q5) Explain how divorce cases are settled between the parties prior to trial.Can such arrangements inadequately lead to trial?
To view all questions and flashcards with answers, click on the resource link above. Page 41
Chapter 40: Accountants' Duties and Liability
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11119
Sample Questions
Q1) GAAPs and GAASs are used to determine the conduct of a "reasonable accountant" in negligence suits.
A)True
B)False
Q2) Section 11(a)of the Securities Act of 1933 holds accountants liable for omissions of material facts in registration statements regardless of the accountant's intentions.
A)True
B)False
Q3) Which of the following statements is true of Rule 10b-5?
A) Privity of contract is a necessity for bringing a lawsuit under this rule.
B) Civil private lawsuits are not permitted under this rule.
C) Only purchasers and sellers of securities can sue accountants under this rule.
D) Ordinary negligence imposes liability on the accountant under this rule.
Q4) All states have provisions that protect an accountant's work papers from discovery in a court case against the accountant's client.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 41: International and World Trade Law
Available Study Resources on Quizplus for this Chatper
100 Verified Questions
100 Flashcards
Source URL: https://quizplus.com/quiz/11120
Sample Questions
Q1) The Shari'a or Islamic law is the only law in Saudi Arabia.
A)True
B)False
Q2) Which of the following statements is true of the European Union?
A) The European Union was formerly called the European Council.
B) Every country in the European Union has adopted the euro as its monetary unit.
C) Custom duties have been removed among member nations of the European Union.
D) A majority vote of existing EU members is needed to admit a new member country.
Q3) According to the Treaty Clause of the U.S.Constitution,the president can make treaties,provided that ________ of the senators present concur.
A) all
B) two-thirds
C) half
D) one-third
Q4) What are the strengths of forming regional organizations among countries? Explain using the example of any international regional organization.
Q5) Omar lives in Saudi Arabia.Describe the religious law that Omar follows.
To view all questions and flashcards with answers, click on the resource link above.
Page 43