Business & Finance Chapter 4 Congress Regulate International Trade Impose Taxes Imported

subject Type Homework Help
subject Pages 14
subject Words 4381
subject Authors Al H. Ringleb, Frances L. Edwards, Roger E. Meiners

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111. To help stimulate jobs in its wine industry, New York does not tax New York wines but taxes other wines $1 per
bottle. This tax is:
a. a constitutional control on intrastate business
b. constitutional, so long as it is not shown to impede foreign trade
c. constitutional because New York state interests outweigh other states' interests
d. constitutional because states have control over alcoholic beverage sales
e. none of the other choices
112. Which of these state taxes are likely to be constitutional?
a. a five cent a bottle tax imposed by Georgia on all beer except beer brewed in Georgia
b. an income tax applied to all Illinois residents' income except retirement income paid by the state to former
employees of Illinois now living in the state
c. a tax imposed by Ohio on all trucks that carry goods on Ohio roads; Ohio trucks do not have to pay the tax
because they buy license plates in the state
d. all of the other choices
e. none of the other choices
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113. Which of the following state taxes is unconstitutional:
a. Hawaii imposed a 20 percent tax on all alcoholic beverages except for local products
b. Michigan exempted from state income taxes the retirement benefits paid to state employees, but taxed all
other retirement income, such as retired federal government employees' benefits
c. North Dakota imposed state sales taxes on out-of-state firms doing mail-order business with North Dakota
residents
d. all of the other specific choices are unconstitutional
e. none of the other specific choices are unconstitutional
114. In Quill Corp. v. North Dakota, a state sales tax was imposed on out-of-state firms doing mail-order business
with North Dakota residents. This law was found:
a. unconstitutional violation of the necessary and proper clause
b. unconstitutional violation of the commerce clause
c. constitutional because it involves interstate commerce
d. unconstitutional violation of the First Amendment rights of the mail-order businesses
e. constitutional because it involves all mail-order firms
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115. In Quill Corp. v. North Dakota, a state sales tax was imposed on out-of-state firms doing mail-order business
with North Dakota residents. This law was found:
a. unconstitutional violation of the necessary and proper clause
b. constitutional because it involves all mail-order firms
c. constitutional because it involves interstate commerce
d. unconstitutional violation of the First Amendment rights of the mail-order businesses
e. none of the other choices are correct
116. In Davis v. Michigan Dept. of Treasury, Michigan exempted from state income taxes the retirement benefits paid
to state employees. The state taxed all other retirement income, such as retired federal government employees'
benefits. This law was found:
a. unconstitutional violation of the necessary and proper clause
b. unconstitutional violation of the commerce clause
c. constitutional because it involves interstate commerce
d. unconstitutional violation of the First Amendment rights of the state
e. constitutional because it involves all states
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117. In Davis v. Michigan Dept. of Treasury, Michigan exempted from state income taxes the retirement benefits paid
to state employees. The state taxed all other retirement income, such as retired federal government employees'
benefits. This law was found:
a. unconstitutional violation of the necessary and proper clause
b. constitutional because it involves state benefits
c. constitutional because it involves interstate commerce
d. unconstitutional violation of the First Amendment rights of the state
e. none of the other choices are correct
118. In Baccus Imports v. Dias, The state of Hawaii imposed a 20 percent tax on all alcoholic beverages except for
local products. This law was found:
a. unconstitutional violation of the necessary and proper clause
b. unconstitutional violation of the commerce clause
c. constitutional because it involves interstate commerce
d. unconstitutional violation of the First Amendment rights of the alcohol businesses
e. constitutional because it involves all mail-order firms
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119. In Baccus Imports v. Dias, The state of Hawaii imposed a 20 percent tax on all alcoholic beverages except for
local products. This law was found:
a. unconstitutional violation of the necessary and proper clause
b. constitutional because it involves all alcohol businesses
c. constitutional because it involves interstate commerce
d. unconstitutional violation of the First Amendment rights of the alcohol businesses
e. none of the other choices are correct
120. With regard to state taxation, a major controversy today is:
a. states' ability to tax same-sex unions
b. states' ability to tax internet businesses
c. states' ability to tax campaign contributions
d. states' ability to tax local flea markets
e. states' ability to tax oil found in the state
121. States may constitutionally impose a tax:
a. on goods passing through the state for legitimate commercial purposes, so long as it is not sold in the state
b. that taxes products from other states more heavily than in-state products
c. on the income of businesses by using formulas that account for the intrastate share of interstate commerce
d. a and b are correct
e. a, b and c are correct
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122. States may constitutionally impose a special tax:
a. on persons only passing through the state for business purposes
b. that only applies to foreign corporations doing business in the state
c. that taxes interstate business more heavily than intrastate business
d. on non-state residents who visit the state
e. none of the other choices
123. The Supreme Court has held that states may:
a. never tax the income of businesses
b. tax the income of businesses so long as they are "constitutionally rational"
c. tax all income of businesses only if the business is headquartered in the state
d. tax the income of businesses so long as the burden of the state tax is apportioned fairly
e. tax the income of businesses that do more that $5 million (net) worth of business in-state
124. States can tax the portion of a business's income that is:
a. attributable to their state
b. attributable to the federal government
c. attributable to the business's out of state operations
d. all of the other specific choices are correct
e. none of the other specific choices are correct
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125. For a state to tax a business, the business must:
a. have a partnership with a business in the state
b. have a trucking route through the state
c. have five employees living in the state
d. have a "nexus" within the state
e. have a CEO living within the state
126. For a state to tax a business, the business must:
a. do at least a minimal amount of business in that state
b. have a trucking route through that state
c. have five employees living in that state
d. have a telephone number in that state
e. have a CEO living within that state
127. For a state to tax a business, the state must have:
a. rules for dividing the company's income into an in-state and an out-of-state portion
b. rules for determining how much of a company's income is profit
c. rules for determining which employees made the majority of the income
d. rules for determining the costs of operations in other states
e. none of the other choices are correct
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128. For a state to tax a business, the state must have:
a. rules for apportioning a company's income
b. rules for determining how much of a company's income is profit
c. rules for determining which employees made the majority of the income
d. rules for determining the costs of operations in other states
e. none of the other choices are correct
129. Apportionment is:
a. the dividing of a federal tax among businesses
b. the dividing of a state tax among businesses
c. a process of dividing a company's income into an in-state and an out-of-state portion
d. a process of dividing a company's income into profit and loss
e. none of the other choices are correct
130. Apportionment is meant to protect a company from:
a. state taxes
b. federal taxes
c. being taxed on more than 100% of its income
d. being taxed on more than 10% of its income
e. being taxed by multiple states
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131. The Uniform Division of Income for Tax Purposes Act uses which of the following factors to divide a company's
income:
a. the percentage of a corporation's nationwide property located in the state
b. the percentage of a corporation's nationwide sales made to residents of the state
c. the percentage of a corporation's nationwide payroll paid to residents of the state
d. all of the other specific choices are correct
e. none of the other specific choices are correct
132. The Uniform Division of Income for Tax Purposes Act uses which of the following factors to divide a company's
income:
a. the extent of time employees spend in the state
b. the type of sales made outside the state
c. the percentage of a corporation's nationwide payroll paid to residents of the state
d. all of the other specific choices are correct
e. none of the other specific choices are correct
133. The Uniform Division of Income for Tax Purposes Act uses which of the following factors to divide a company's
income:
a. the extent of time employees spend in the state
b. the type of sales made outside the state
c. the percentage of a corporation's nationwide sales made to residents of the state
d. all of the other specific choices are correct
e. none of the other specific choices are correct
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134. The Uniform Division of Income for Tax Purposes Act uses which of the following factors to divide a company's
income:
a. the extent of time employees spend in the state
b. the type of sales made outside the state
c. the percentage of a corporation's nationwide property located in the state
d. all of the other specific choices are correct
e. none of the other specific choices are correct
135. In addition to not being allowed to interfere with interstate commerce, states are not allowed to:
a. interfere with international commerce
b. interfere with international laws
c. interfere with unwritten codes of conduct
d. promote international commerce
e. none of the other choices are correct
136. The commerce clause does not allow:
a. states to impose discriminatory state taxes on foreign commerce
b. states to do business with other countries
c. Congress to do business with other countries
d. Congress to regulate international trade or impose taxes on imported goods
e. none of the other choices are correct
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137. Foreign commerce:
a. may be subject to discriminatory state taxes
b. may not be subject to discriminatory state taxes
c. may only be subject to discriminatory state taxes if it adds jobs to the U.S. job market
d. is heavily regulated by state taxes
e. none of the other choices are correct
138. The U.S. Constitution forbids:
a. the federal government from regulating foreign trade
b. states from regulating foreign trade
c. states from accepting goods from other states
d. states from accepting goods from other countries
e. the federal government from engaging in trade treaties with other countries
139. Port cities in California imposed a property tax on cargo containers used by Japanese ships for loading and
unloading cargo. The Supreme Court held the tax:
a. constitutional because it was on foreign-owned property
b. constitutional because it was imposed the same on all containers, regardless of ownership
c. unconstitutional interference with foreign trade
d. unconstitutional interference with the exclusive federal taxing power
e. none of the other choices
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140. Port cities in California imposed a property tax on cargo containers used by Japanese ships for loading and
unloading cargo. The Supreme Court held the tax:
a. constitutional because it was on foreign-owned property
b. constitutional because it was imposed the same on all containers, regardless of ownership
c. unconstitutional interference with states' rights
d. unconstitutional interference with the exclusive federal taxing power
e. none of the other choices
141. Suits against the media for defamation are:
a. rarely successful in other countries
b. rarely successful in the United States
c. always successful in the United States
d. never successful anywhere
e. none of the other choices are correct
142. Suits against the media for defamation are:
a. rarely successful in other countries
b. often successful in other countries
c. always successful in the United States
d. never successful anywhere
e. none of the other choices are correct
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143. The First Amendment limits:
a. police from searching a private home without a warrant and due process
b. Congress from making certain laws restricting freedom of speech
c. race and sex discrimination
d. unequal taxes on in-state and out-of-state businesses
e. Congress from restricting the right to bear arms
144. Which Amendment to the Constitution restricts Congress from imposing many controls on political and commercial
speech by business?
a. First
b. Fifth
c. Eighth
d. Fourteenth
e. None; Congress may not restrict individual speech, but may restrict business speech
145. The First Amendment to the Constitution:
a. restricts Congress from imposing many controls on political and commercial speech by business
b. restricts business from imposing many controls on political and commercial speech by Congress
c. restricts Congress from controlling marriage laws
d. prevents Congress from passing laws against carrying firearms in public places
e. restricts Congress's ability to regulate interstate commerce
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146. The First Amendment provides protection for which of the following kinds of speech?
a. political speech by private citizens
b. political speech by corporations
c. commercial speech by businesses
d. commercial speech by private citizens
e. all of the other choices
147. A state statute prohibited corporations from making any contributions designed to influence voting on questions on
the state ballot. Based on what you have read, you can presume the Supreme Court held that this statute:
a. was constitutional under the 1st Amendment
b. was an unconstitutional infringement of the 1st Amendment
c. was an unconstitutional infringement of the 4th Amendment
d. was constitutional under the 14th Amendment
e. was constitutional under the Due Process Clause
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148. Because of the First Amendment to the U.S. Constitution:
a. the City of New York could regulate the volume of music played at an outdoor concert, but not the content
b. the City of New York could regulate the volume of music played at an outdoor concert in addition to the
content
c. the City of New York not could regulate the volume of music played at an outdoor concert or the content
d. the City of New York could not regulate the volume of music played at an outdoor concert, but could
regulate the content
e. none of the other choices are correct
149. Traditionally there have been more restrictions on:
a. commercial speech than on political speech
b. political speech than on commercial speech
c. commercial speech and political speech than on dissenting speech
d. political speech than on educational speech
e. none of the other choices are correct
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150. In Consolidated Edison Co. v. Public Service Comm., the New York utility commission ruled that the electric
company could not send its customers information in support of nuclear power. The Supreme Court held the
commission was:
a. correct; the customers were a captive audience that could not avoid the information
b. correct; the utility is regulated by the state, so any expenditure of funds can be controlled
c. correct; nuclear power is a political issue, discussions may be limited by firms affected by public policies
d. incorrect; the utility has a First Amendment right to discuss political issues
e. incorrect; no government agency may impose restrictions on the speech of private parties
151. In Consolidated Edison Co. v. Public Service Comm., the New York utility commission ruled that the electric
company could not send its customers information in support of nuclear power. The Supreme Court held the
commission was:
a. correct; the customers were a captive audience that could not avoid the information
b. correct; the utility is regulated by the state, so any expenditure of funds can be controlled
c. correct; nuclear power is a political issue, discussions may be limited by firms affected by public policies
d. incorrect; government agencies may not impose restrictions on the speech of private parties
e. none of the other choices
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152. In Consolidated Edison Co. v. Public Service Comm., the New York utility commission ruled that the electric
company could not send its customers information in support of nuclear power. The Supreme Court announced a
test for such restrictions on information. Which of the following is not a part of the test applied to prohibitions on
speech:
a. is it a reasonable time, place or manner restriction
b. does it apply to a for-profit organization
c. does it apply to a permissible subject-matter
d. is it a narrowly tailored way to achieve a compelling state interest
e. all of the other choices are part of the test
153. In Consolidated Edison Co. v. Public Service Comm., the New York utility commission ruled that the electric
company could not send its customers information in support of nuclear power. The Supreme Court examined this
restriction applying several tests. Which test did it not apply?
a. if it is a reasonable time, place, or manner restriction
b. if the restriction is on a permissible subject matter
c. if the restriction impedes interstate commerce
d. if the restriction is as narrowly tailored as possible to serve a compelling state interest
e. all of the other choices were tests applied
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154. In Consolidated Edison Co. v. Public Service Comm., the New York utility commission ruled that the electric
company could not send its customers information in support of nuclear power. The Supreme Court examined this
restriction applying several tests. Which test did it not apply?
a. if it is a reasonable time, place, or manner restriction
b. if the restriction is on a permissible subject matter
c. if the restriction is narrowly designed to serve a compelling state interest
d. it applied none of these tests
e. it applied all of these tests
155. In Consolidated Edison Co. v. Public Service Comm., the New York utility commission ruled that the electric
company could not send its customers information in support of nuclear power. The Supreme Court held that this
was unconstitutional because:
a. the New York Commission was restricting the content of the information distributed
b. the New York Commission was restricting the time the information was distributed
c. the New York Commission was restricting the place the information distributed
d. the New York Commission was not restricting the content of the information distributed
e. none of the other choices are correct
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156. In Consolidated Edison Co. v. Public Service Comm., the New York utility commission ruled that the electric
company could not send its customers information in support of nuclear power. The Supreme Court held that the
restrictions imposed by the New York utility commission were:
a. legal
b. constitutional
c. reasonable
d. unreasonable
e. necessary under the circumstances
157. Before being controversially struck down by the Supreme Court in the Citizens United case, the McCain-Feingold
Act:
a. allowed political speech by all non-profit corporations
b. prohibited for-profit and non-profit corporations and unions from broadcasting "electioneering
communication"
c. promoted "electioneering communication" by political parties
d. prohibited for-profit, but not non-profit, corporations and unions from broadcasting "electioneering
communication"
e. none of the other choices are correct
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158. In Citizens United, the Supreme Court struck down portions of the McCain-Feingold Act, which limited
"electioneering communication" by corporations and unions because:
a. since there is no distinction between media and other corporations, such restrictions would allow Congress to
suppress political speech in all media outlets
b. since there is no distinction between media and other corporations, such restrictions would not allow
Congress to suppress political speech in all media outlets
c. since there is a distinction between media and other corporations, such restrictions would not allow Congress
to suppress political speech in all media outlets
d. since there is no distinction between non-profit and for-profit corporations, such restrictions would allow
Congress to suppress political speech in all corporations
e. none of the other choices are correct
159. Congress passed the Communications Decency Act to restrict child pornography on the Internet. When it reviewed
the constitutionality of the statute, the Supreme Court held the law to be:
a. an unconstitutional restriction on speech
b. a constitutional restriction on speech because it affected minors
c. a constitutional restriction on speech because it affected an area subject to regulation
d. a constitutional restriction on speech because it was narrowly tailored to achieve a compelling governmental
interest
e. none of the other choices

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