Deck 1: Introduction to the Business and Ethics Environment in a Diverse Society

Question 1

Bernard Madoff, former NASDAQ chairman, was sentenced in June 2009 to 150 years in prison after pleading guilty to charges that he conducted purportedly the largest _____ swindle in the country's history and lost a reported $51 billion of his clients' assets.

A) forex
B) Ponzi scheme
C) insider trading
D) pyramid scheme

Answer 1

B
Explanation: Bernard Madoff, former NASDAQ chairman, was sentenced in June 2009 to 150 years in prison after pleading guilty to charges that he conducted purportedly the largest Ponzi scheme swindle in the country's history and lost a reported $51 billion of his clients' assets.

Question 2

Instead of granting money damages to the victim, civil laws generally result in punishment of the perpetrator.

Answer 2

False
Explanation: Civil law is generally the type of law that permits people to recover money damages for noncriminal actions which occur, such as car accidents, character defamation, or product liability.

Question 3

Equitable remedies are generally available when no law has been violated, but a party wishes to have relief.

Answer 3

True
Explanation: Equity stands outside the law to provide relief when legal remedies are not available. It is extralegal relief available when the law does not provide a legal remedy.

Question 4

The laws passed by congress are known as executive orders.

Question 5

According to the categorical imperative theory, in the event of an ethical dilemma, the ends justify the means and the choice is made to do what is the "greatest good" for the most people.

Question 6

The legislative branch of the government has the authority to interpret executive orders or other presidential acts as unconstitutional.

Question 7

Legal positivism is based on the theory that there is a discoverable set of absolute right and wrong principles upon which our laws should be based.

Question 8

_____ is the study of law, legal systems, and legal philosophy.

A) Conchology
B) Ethology
C) Jurisprudence
D) Emotivism

Question 9

Jim Crow laws promoted segregation and racial discrimination.

Question 10

The sociological theory is based on the premise that society's ideas change over time and law should reflect a compromise between the changing, often conflicting, interests of society.

Question 11

According to _____, to the extent the laws reflect the laws of nature or God, the laws are considered "good" ones; to the extent they do not, they are "bad."

A) Jim Crow laws
B) Natural law
C) Tort laws
D) Marxism

Question 12

The executive branch of government has the president as the chief executive.

Question 13

Public law may involve involuntary litigation and is brought by the state.

Question 14

Civil law is designed to make whole those who have suffered physical, monetary, property, or other injury at the hands of another.

Question 15

The judicial branch of government is primarily responsible for executing the laws of the land.

Question 16

The theory of natural law is based on the premise that law derives its status as law from the fact that it has been enacted by the sovereign with the power to enforce his or her wishes.

Question 17

The legislative branch of government is composed of Congress and the Senate.

Question 18

Which of the following is best defined as a system of limitations upon our actions imposed by the government to ensure order, safety, predictability and control?

A) Economics
B) Politics
C) Law
D) Society

Question 19

The executive branch of government has the authority to pass laws to bring the court's interpretation of law in line with the views of the legislature.

Question 20

Which of the following is based on the theory that there is a discoverable set of absolute right and wrong principles upon which our laws should be based?

A) Legal positivism
B) Tort law
C) Syndicalism
D) Natural law

Question 21

Which of the following branches of the government is composed of Congress and the Senate?

A) Legislative
B) Executive
C) Judicial
D) Civil

Question 22

According to the _____ theory of jurisprudence, actual experience is the key to determining what law should be.

A) legal realism
B) natural law
C) sociological theory
D) legal positivism

Question 23

The legislative branch of the government has the authority to:

A) interpret laws.
B) pass laws to bring the court's interpretation of law in line with the views of the legislature.
C) request legislation and veto legislation.
D) interpret executive orders or other presidential acts as unconstitutional.

Question 24

Which of the following statements is true regarding the sociological theory?

A) This theory is based on a premise that there is a discoverable set of absolute right and wrong principles upon which our laws should be based.
B) According to this theory, law should change as societal ideas change.
C) According to this theory, to the extent laws reflect laws of nature, or God, the laws are considered "good" ones. To the extent they do not, they are "bad."
D) This theory is based on the premise that law derives its status as law from the fact that it has been enacted by the sovereign with the power to enforce his or her wishes.

Question 25

Which of the following statements is true regarding the legislative branch of government?

A) It is primarily responsible for interpreting the law by deciding cases in federal courts.
B) It has the right to issue executive orders and to veto bills Congress passes.
C) It is responsible for executing the laws of the land.
D) It is composed of Congress and the Senate.

Question 26

Which of the following theories of jurisprudence, according to some people, is not a good way to view law because it makes law too fluid?

A) Aristocracy
B) Legal Positivism
C) Natural law
D) Sociological theory

Question 27

Which of the following branches of the government has primary responsibility for enacting laws in the areas over which the Constitution designated the federal government would have authority?

A) Executive
B) Civil
C) Judicial
D) Legislative

Question 28

Which of the following theories of jurisprudence is based on the premise that society's ideas change over time and law should reflect a compromise between the changing, often conflicting, interests of society?

A) Legal positivism
B) Natural law
C) Sociological theory
D) Legal realism

Question 29

The _____ branch of government is primarily responsible for interpreting the law by deciding cases in federal courts.

A) executive
B) legislative
C) judicial
D) civil

Question 30

Which of the following statements is true regarding natural law?

A) According to the theory of natural law, law derives its status as law from the fact that it has been enacted by the sovereign with the power to enforce his or her wishes.
B) The theory underlying natural law is that there is a discoverable set of absolute right and wrong principles upon which our laws should be based.
C) The theory of natural law is based on the premise that society's ideas change over time and law should reflect a compromise between the changing, often conflicting, interests of society.
D) According to the theory of natural law, actual experience is the key to determining what law should be.

Question 31

The executive branch of the government has the authority to:

A) interpret laws.
B) pass laws to bring the court's interpretation of law in line with the views of the legislature.
C) request legislation and veto legislation.
D) interpret executive orders or other presidential acts as unconstitutional.

Question 32

The _____ branch of government is responsible for executing the laws of the land.

A) executive
B) legislative
C) judicial
D) civil

Question 33

Which of the following concepts is most likely to justify the restriction and eventual extermination of millions of Jews, Pentecostals, Gypsies, gays, blacks, and other "undesirables" during the Holocaust?

A) Legal realism
B) Natural law
C) Sociological theory
D) Legal positivism

Question 34

Which of the following branches of the government has the president as the chief executive?

A) Legislative
B) Executive
C) Judicial
D) Civil

Question 35

Which of the following laws is true regarding legal positivism?

A) The theory of legal positivism is based on the premise that society's ideas change over time and law should reflect a compromise between the changing, often conflicting, interests of society.
B) The theory underlying legal positivism is that there is a discoverable set of absolute right and wrong principles upon which our laws should be based.
C) According to the theory of legal positivism, law derives its status as law from the fact that it has been enacted by the sovereign with the power to enforce his or her wishes.
D) According to the theory of legal positivism, actual experience is the key to determining what law should be.

Question 36

Which of the following theories of jurisprudence is based on law as issued by a governing figure or sovereign?

A) Legal realism
B) Natural law
C) Sociological theory
D) Legal positivism

Question 37

Which of the following statements is true regarding legal realism?

A) The theory of legal realism is based on the premise that society's ideas change over time and law should reflect a compromise between the changing, often conflicting, interests of society.
B) The theory underlying legal realism is that there is a discoverable set of absolute right and wrong principles upon which our laws should be based.
C) According to the theory of legal realism, law derives its status as law from the fact that it has been enacted by the sovereign with the power to enforce his or her wishes.
D) According to the theory of legal realism, law follows what people actually do.

Question 38

According to this theory of jurisprudence, if the reality is that most people smoke marijuana, then it should be legalized, rather than deeming it illegal because it is viewed by some as immoral. Identify the theory of jurisprudence in discussion.

A) Natural law
B) Legal realism
C) Sociological theory
D) Legal positivism

Question 39

The Declaration of Independence's statement that "We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable rights, that among these are life, liberty, and the pursuit of happiness." is a well-known example of _____.

A) natural law
B) fascism
C) tort law
D) Jim Crow law

Question 40

With reference to the federal government, which of the following is true regarding a system of checks and balances?

A) Only one of the branches is given all the authority.
B) All the branches of the government are given equal authority.
C) All the branches of the government operate independent of each other.
D) It ensures that government policies are not reached without the input of the other branches.

Question 41

The judicial branch has the authority to:

A) interpret laws.
B) pass laws to bring the court's interpretation of law in line with the views of the legislature.
C) request legislation and veto legislation.
D) nominate federal judges.

Question 42

All of the following statements are true regarding torts EXCEPT:

A) tort liability generally results in financial liability on the part of the tortfeasor.
B) negligent infliction of emotional distress would be an example of tort.
C) torts are noncontract violations of civil law.
D) tort cases are brought by the state.

Question 43

Which of the following branches of government has the authority to provide the president with advice and consent as to the president's judicial and other nominations?

A) Judicial
B) Executive
C) Civil
D) Legislative

Question 44

Which of the following statements is true in the context of equitable laws?

A) The case usually results in nonmonetary remedies.
B) The harmed party generally has a right to a jury trial.
C) The case is generally governed by federal laws.
D) Stare decisis is used for decision making.

Question 45

Which of the following branches of government has the authority to nominate federal judges?

A) Substantive
B) Executive
C) Judicial
D) Legislative

Question 46

This act is a legislative response to some of the more nefarious business practices that often stemmed from less than stellar ethical decision making by businesses and that ostensibly led to the financial downturn and bailouts of 2008 and 2009. It was signed into law on July 21, 2010, by President Obama. Identify the act in the discussion.

A) Sarbanes-Oxley Act
B) Supplemental Appropriations Act
C) Lilly Ledbetter Fair Pay Act
D) Dodd-Frank Act

Question 47

Which of the following laws provides rules and regulations for how to exercise the rights we are given by substantive law?

A) Public law
B) Civil law
C) Procedural law
D) Private law

Question 48

According to the _____ ethical theory, in the event of an ethical dilemma, the ends justify the means and the choice should be made to do what is the "greatest good" for the most people.

A) utilitarian
B) deontological
C) categorical imperative
D) consequentialism

Question 49

According to which of the following ethical theories, in the event of an ethical dilemma, everyone should act as they would want someone else to act in the situation?

A) Utilitarian approach
B) Deontological
C) Categorical imperative
D) Consequentialism

Question 50

Which of the following types of laws is most likely to govern matters such as the court in which a plaintiff should bring the case?

A) Private law
B) Procedural law
C) Substantive
D) Criminal

Question 51

_____ law is generally the type of law that permits people to recover money damages for noncriminal actions which occur, such as car accidents, character defamation, or product liability.

A) Jim Crow
B) Executive
C) Criminal
D) Civil

Question 52

A law regarding trade secrets is an example of _____ law.

A) civil
B) substantive
C) private
D) criminal

Question 53

Which of the following best represents voluntary binding agreements people or businesses enter into in order to obtain something to which they are not otherwise entitled?

A) Torts
B) Memorandums
C) Contracts
D) Articles of incorporation

Question 54

Which of the following statements is true regarding private law?

A) It is related to the private parties' rights and interests rather than the interest of the government.
B) It provides rules and regulations for how to exercise the rights we are given by substantive law.
C) It is related to area that deals with interaction between people and government.
D) It provides rights and remedies and dictates what kinds of actions we can and cannot engage in.

Question 55

Which of the following statements is true regarding public law?

A) The harmed party bringing suit pays for suit.
B) The suit brought on behalf of harmed party.
C) The suit does not proceed if the harmed party doesn't want it to.
D) It often deals with criminal cases.

Question 56

Defamation is most likely to be an example of _____.

A) violation of public law
B) a tort
C) violation of substantive law
D) a felony

Question 57

Which of the following branches of government has the authority to interpret executive orders or other presidential acts as unconstitutional?

A) Civil
B) Legislative
C) Judicial
D) Executive

Question 58

Which of the following laws provides rights and remedies and dictates what kinds of actions we can and cannot engage in?

A) Procedural
B) Private
C) Substantive
D) Civil

Question 59

Torts are noncontract violations of _____ law.

A) public
B) substantive
C) civil
D) procedural

Question 60

In the case of private law,

A) the suit can proceed if the victim doesn't want it to.
B) the suit is brought on behalf of harmed party.
C) the cases handled are generally criminal cases.
D) the harmed party does not pay for suit.

Question 61

Discuss the legal realism theory of jurisprudence.

Question 62

Discuss briefly the three branches of the federal government.

Question 63

Discuss with an example, natural law.

Question 64

What is the difference between law and morality?

Question 65

Discuss with an example legal positivism.

Question 66

Compare civil law and criminal law.

Question 67

Discuss civil and criminal law.

Question 68

Explain the following ethical theories, utilitarian approach and categorical imperative.

Question 69

Discuss substantive and procedural law.

Question 70

Discuss the sociological theory of jurisprudence.

Question 71

Define law.

Question 72

What is equity? Distinguish between law and equity.

Question 73

What is a bailment? Explain with an example.

Question 74

Define tort. Discuss briefly common law torts.

Question 75

Distinguish between public law and private law.