Deck 20: Business Law regulation and Taxation

Question 1

What is the name given to an agreement that results from the actions of the parties rather than an exchange of specific promises?

A) Express contract
B) Void contract
C) Implied contract
D) Unenforceable contract

Answer 1

C

Question 2

If Susana Lopez,a board member for 2M,Inc.,was invited to serve on the board of directors for May and Man,Corp.,a competitor,which of the following laws would dictate that she must refuse the invitation?

A) Sherman Act
B) Clayton Act
C) The Federal Trade Commission Act
D) Celler-Kefauver Act

Answer 2

B

Question 3

What is the name given to the body of law created by court decisions rendered by judges?

A) Common
B) Statutory
C) Administrative
D) Business

Answer 3

A

Question 4

Who executes a power of attorney?

A) A principal
B) An agent
C) A bank
D) A notary public

Question 5

Juju Foster,owner of All-City Sports Equipment,has a long-term business relationship with Haskins Manufacturing.The relationship has always been professional,amicable,and has benefited both sides.Recently,Haskins Manufacturing has brought in a new CEO as well as two new board members of its publicly traded corporation.These new changes are beginning to worry Juju as it appears that not only the relationship,but also the business terms and potential future contracts,are also about to change.Juju is keeping an open mind about what the future relationship will look like but is also willing to consider her own options.What kind of agreement would All-City be entering into if Juan,Haskins Manufacturing's sales rep that Juju works with,presents a requirement that All-City Sports purchase "all" softball equipment only from Haskins to get a "special" price discount?

A) Binding contract
B) Tying agreement
C) Implied contract
D) FTC violation

Question 6

What is the name given to laws enacted by legislative bodies?

A) Statutory
B) Administrative
C) Common
D) Federal

Question 7

Which of the following is not a crime as well as a tort?

A) Shoplifting
B) Tax evasion
C) Robbery
D) Murder

Question 8

What federal act would be violated by a company that controls the manufacture of a particular product and has board members sitting on the boards of distributors that are in direct competition with other distributors of that product?

A) Celler-Kefauver Act
B) Federal Trade Commission Act
C) Robinson-Patman Act
D) Clayton Act

Question 9

New York City's law covering asbestos cleanup in residential and commercial buildings has been in effect for many years.The law requires that no apartment or commercial space be given a building permit for alterations unless it has been inspected for asbestos.What would be the classification for this kind of law?

A) Common
B) Constitutional
C) Statutory
D) Law

Question 10

If All-City Sports is being charged a higher price for the baseball,softball,and soccer equipment by Haskins Manufacturing than the manufacturer charges larger firms,of what practice would All-City Sports be the victim?

A) Price-fixing
B) Price discrimination
C) A community of interest
D) Tying agreements

Question 11

What kind of laws are the regulations created by government agencies from rules or laws established by legislative bodies?

A) Common
B) Business
C) Administrative
D) Statutory

Question 12

Which of the following is not an example of real property?

A) Mobile home attached to a foundation
B) Storage shed not attached to the land
C) Factory
D) Garage

Question 13

Which of the following was not the purpose of passing the Sherman Antitrust Act?

A) Prevent price fixing
B) Prevent market allocation
C) Prevent boycott in restraint of trade
D) Prevent price discrimination

Question 14

What rules do societies develop to govern the conduct of and relationships among its members?

A) Laws
B) Statutes
C) Regulations
D) Precepts

Question 15

Which of the following is not the purpose of deregulation?

A) Removal of existing regulations
B) Forgoing proposed regulations
C) Minimize the complexity of regulations
D) Create new regulations to clarify existing regulations

Question 16

Which of the following is a tax an individual would not pay but a business might pay?

A) Federal income taxes
B) State income taxes
C) Personal property taxes
D) Unemployment tax

Question 17

Which of the following entities creates statutes?

A) Judges
B) Presidents
C) Congress
D) Government agencies

Question 18

Which of the following is not true about bankruptcy?

A) It is more difficult to file a Chapter 7 bankruptcy now than it was many years ago.
B) To file for involuntary bankruptcy,creditors must prove that the individual has unsecured debt in excess of just over $15,000 and cannot pay its debts as they come due.
C) Bankruptcy can only be voluntary.
D) Today most bankruptcies are voluntary.

Question 19

What is a violation of public law?

A) Tort
B) Crime
C) Malfeasance
D) Felony

Question 20

What kind of tax best describes the federal income tax?

A) Regressive
B) Excise
C) Progressive
D) Customs