The Anticybersquatting Consumer Protection Act (ACPA) is a federal statute that
makes the misrepresentation of another person, business or organization using
inappropriate words, imagery or other media illegal.
What is a vertical merger?
A) a merger between firms in totally unrelated businesses
B) a merger that integrates the operations of a supplier and a customer
C) a merger between two companies in similar fields whose sales do not overlap
D) a merger between two or more companies that compete in the same business and
geographical market
Which of the following statements is true about the freedom of speech guaranteed by
the Bill of Rights?
A) The Freedom of Speech Clause was added to the Constitution in the third
amendment.
B) The Freedom of Speech Clause protects speech only, not conduct.
C) There is no provision for fully protected speech in the Constitution.
D) Burning the American flag in protest to a federal government military action is in
violation of the Freedom of Speech Clause.
Melissa owes money to her bank for her credit card bills. For the past two weeks, debt
collectors have been harassing her for bill payment by sending people to her workplace.
Her boss expressly asks her to avoid such meetings, but despite Melissa’s repeated
requests that the collection agency stop, the collectors continue to visit her workplace.
Which of the following Acts has provisions that would help protect Melissa from such
harassment?
A) Fair and Accurate Credit Transactions Act
B) Fair Credit Reporting Act
C) Fair Debt Collection Practices Act
D) Fair Credit and Charge Card Disclosure Act
Which of the following can an accountant use as a defense to liability under Section
11(a) of the Securities Act of 1933?
A) the nolo contendere rule
B) the due diligence defense
C) theUltramares doctrine
D) the foreseeability standard
The electronic data and record system of the Securities and Exchange Commission
(SEC) is known as ________.
A) EDGAR
B) NASDAQ
C) MICEX
D) SPSE
Rapid Rise is a health drink targeted at teenagers. Their advertisement campaign claims
that regular consumption of the drink over a two-month period leads to a four-inch
increase in height. However, this claim is not substantiated by laboratory research and
has not been proven in most of its users. This act of making scientifically
unsubstantiated health claims about one’s product is likely to be a violation of the
________.
A) Health Care Reform Act
B) Nutrition Labeling and Education Act
C) Consumer Product Safety Act
D) Patient Protection and Affordable Care Act
The suspension of certain legal actions by creditors against a debtor or the debtor’s
property is known as a(n) ________.
A) discharge of debt
B) composition
C) automatic stay
D) order for relief
The Environmental Protection Agency (EPA) administers the National Environmental
Policy Act (NEPA) and has the authority to adopt regulations for the enforcement of the
act.
Minksine Corporation employs Sandy as its marketing manager. Sandy is driving her
automobile to attend a meeting with a client on behalf of her employer. On her way,
Sandy is involved in an automobile accident that is caused by her negligence. Several
people are seriously injured. Which of the following is true of this case?
A) Sandy is solely liable for damages caused by the accident.
B) The injured parties cannot recover damages from Sandy.
C) Minksine Corporation is liable for the injuries caused by Sandy.
D) The injured parties can only claim medical reimbursement from Minksine
Corporation.
Interests in oil, gas, and mineral rights are classified as ________.
A) statutorily defined securities
B) implicit securities
C) investment contracts
D) common securities
The ________ imposes obligations on employers and providers of public transportation,
telecommunications, and public accommodations to accommodate physically
challenged individuals.
A) ADEA
B) OWBPA
C) ADA
D) FEPA
A(n) ________ refers to a security interest in property that was not in the possession of
the debtor when the security agreement was executed.
A) floating lien
B) after-acquired property
C) attachment
D) future advance
________ occurs where a principal is liable for an agent’s tortious conduct because of
the employment contract between the principal and agent, not because the principal was
personally at fault.
A) Vicarious liability
B) Negligence
C) Liability with fault
D) Misrepresentation
Ronald, the purchasing manager of Telly’s Supermarket in Georgia, was asked to
purchase the latest video game console, FunCase, to be kept in the supermarket. Due to
a truckers’ strike, Ronald had to personally make the trip to the FunCase warehouse in
Florida to pick up the console. Ronald paid for the trip himself, went to the warehouse,
procured the console, and returned. After he got back, Telly’s Supermarket paid Ronald
for the personal expenses he incurred in making the trip to Florida. What duty of the
principal did Telly’s Supermarket satisfy when it paid Ronald for the trip?
A) duty to cooperate
B) duty to reimburse
C) duty to compensate
D) duty to indemnify
Noelle uses blackmail to force Jeff to sign a contract for the sale of his home. This
contract is ________.
A) unenforceable
B) valid
C) void
D) voidable
Which of the following is a form of unprotected speech?
A) offensive speech
B) defamatory language
C) commercial speech
D) political speech
The ________ branch of the federal government has the power to enforce the law.
A) judicial
B) legislative
C) executive
D) commissary
Which of the following is true of a contract in which one of the parties is insane but not
adjudged insane?
A) The contract is voidable by the competent party.
B) The contract is only voidable by the insane person.
C) Only the court-appointed legal guardian of the insane person can modify the
contract.
D) The sane person must be placed in status quo if the insane person voids the contract.
Which of the following is true of corporate bylaws?
A) They only contain rules addressing how the corporation can interact with the
government.
B) They are only adopted by the shareholders of the corporation.
C) They are not binding on the directors or shareholders of the corporation.
D) They do not have to be filed with any government official.
What does “corporate citizenship” as a social responsibility theory in business imply?
A) Businesses are responsible for helping to solve social problems that they did little, if
anything, to cause.
B) Businesses owe a duty to take actions that increase profits for shareholders.
C) Businesses have a responsibility solely to their stakeholders and strive to maximize
their well-being.
D) Businesses are obliged to consider the effects of their actions on persons other than
their shareholders.
What are surface rights in real property?
A) the right to possess the earth beneath the land
B) the right to occupy the land
C) the right to possess personal property
D) the right to convert personal property to negotiable instruments
What federal statute was enacted by the U.S. Congress to protect trade secrets?
A) the Sarbanes-Oxley Act
B) the Lanham Act
C) the Telecommunication Act
D) the Economic Espionage Act
The ________ Act of 2002 is a federal statute enacted by Congress to improve
corporate governance.
A) Brown-Kaufmann
B) Lanham
C) Glass-Steagall
D) Sarbanes-Oxley
Which of the following does Section 2A-201(1) of the Uniform Commercial Code
state?
A) All lease contracts must be in writing.
B) Lease contracts requiring payments of $1,000 or more must be in writing.
C) All sales contracts must be in writing.
D) Sales contracts requiring payments of $500 or more must be in writing.
Which of the following statements is true of the United States’ Foreign Commerce
Clause?
A) Regulation of foreign commerce by state governments is unconstitutional.
B) A state can enact a law that forbids a foreign country from doing business in that
state if that country engages in activities that are not condoned by that state.
C) Direct regulation of foreign commerce by the federal government violates the
Commerce Clause.
D) A state government is only permitted to regulate foreign trade indirectly.
________ discrimination occurs when an employer treats a specific individual less
favorably than others because of that person’s race, color, national origin, sex, or
religion.
A) Disparate-treatment
B) Disparate-impact
C) Favored-treatment
D) Unfair-impact
The legislative branch of the U.S. federal government is ________.
A) monocameral
B) bicameral
C) tricameral
D) polycameral
A merger between two regional fruit-sellers that do not sell fruit in the same
geographical area is an example of a ________.
A) market extension merger
B) conglomerate merger
C) horizontal merger
D) vertical merger
Allenby Spares, Inc. is a shop that sells spare automotive parts from various
manufacturers. A customer buys a faulty brake manufactured by TurboDiezel, Inc. from
Allenby Spares and is involved in an accident due to the use of the faulty brake in his
vehicle. Which of the following is true in this situation?
A) Allenby Spares cannot be held strictly liable since the brake was manufactured by
TurboDiezel.
B) TurboDiezel cannot be held strictly liable as the company is not the seller in this
case.
C) Neither Allenby nor TurboDiezel can be held strictly liable for the faulty brake.
D) Allenby Spares can be held strictly liable for the faulty brake as it is part of the
distribution chain.
Which of the following statements is true about appellate courts?
A) Appellate courts cannot reverse a finding of factmade by the jury.
B) Appellate courts cannot reverse a finding of factmade by the judge.
C) Appellate courts permit brief oral arguments between attorneys.
D) Appellate courts cannot reverse decisions of lower courts.
ULab Inc., a biotechnology firm, lost one of its offices in a fire. The employees did not
have a fire drill, and the 10-story building had no fire escape. This resulted in many
employees being hospitalized for physical injuries, burns, and toxic smoke inhalation.
What important social responsibility theory did ULab neglect by not having a fire drill
for its employees and not installing a fire exit?
A) corporate citizenship
B) moral minimum
C) stakeholder interest
D) maximizing profits
Which of the following documents sets forth the terms and conditions of a franchise?
A) the FTC disclosure document
B) the franchise agreement
C) the articles of incorporation
D) the articles of organization
________ refers to a rule issued by an administrative agency that has the force of law
and to which covered persons and businesses must adhere.
The ________ establishes uniform legal rules for the formation and enforcement of
electronic contracts and licenses.
A company that is issuing securities to the public must file a written ________ with the
Securities and Exchange Commission (SEC).
Briefly explain the steps involved in the pretrial litigation process.
The ________ is a model act that establishes a uniform and comprehensive set of rules
that govern the creation, performance, and enforcement of computer information
transactions.
________ is defined as the taking of personal property from another person by the use
of fear or force.
The ________ makes it a crime to intercept an electronic communication at the point of
transmission, while in transit, when stored by a router or on a server, or after receipt by
the intended recipient.
What is the World Bank? What is its function?
An obligee who transfers a right is known as a(n) ________.
Distinguish between a member-managed and a manager-managed LLC. Mention the
exceptional actions that cannot be delegated to managers.
Under ________ of the Clayton Act, any person who suffers antitrust injury in his or
her business or property can bring a private civil action against the offenders.
The willful or malicious burning of a building is called ________.
Who is an independent contractor?
________ is the making of false statements about a competitor’s products, services,
property, or business reputation.
Explain the concepts of winding up, liquidation, and termination.