Appendix I for Unit Nine
Questions on the Features
N.B.: TYPE indicates that a question is new, modified, or unchanged, as follows.
N A question new to this edition of the Test Bank.
+ A question modified from the previous edition of the Test Bank.
= A question included in the previous edition of the Test Bank.
CHAPTER 44—INSIGHT INTO ETHICS:
SHOULD PHARMACEUTICAL COMPANIES BE ALLOWED TO TWEET?
B1. Walt, a consumer, needs medical information. On the Internet, Walt goes to social
network to consult with other consumers about diagnosis and treatment. Due in part
to the Food and Drug Administration’s rules, pharmaceutical companies are reluctant
to advertise on the Web. Thus Walt is most likely to find
a. accurate information online.
b. all of the necessary information in a tweet.
c. incomplete information in traditional outlets, such as television.
d. incorrect information online.
CHAPTER 45—SHIFTING LEGAL PRIORITIES FOR BUSINESS:
NEW HEALTH-CARE LAW REQUIRES CALORIC INFORMATION
B2. Under federal law, the calorie content of the food on a menu must be posted by
Organic Mix, LLC, if Organic Mix is
a. a restaurant chain with twenty or more locations.
b. a food distributor with twenty or more customers.
c. a food processor with twenty or more products.
d. a food producer with twenty or more acres.
CHAPTER 48—SHIFTING LEGAL PRIORITIES FOR BUSINESS:
ATTACKING THE ESSENCE OF THE SARBANES-OXLEY ACT
B3. The Sarbanes-Oxley Act of 2002 provided for the establishment and appointment of a
federal Public Company Accounting Oversight Board (PCAOB). Stunned by a costly set
of changes ordered by the PCAOB, a small auditing firm filed a suit in a federal district
court against the board. In Free Enterprise Fund v. Public Company Accounting
Oversight Board, the United States Supreme Court held that
a. the PCAOB had been illegally established.
b. the members of the PCAOB had been illegally appointed.
c. the act’s failure to provide for presidential oversight of the PCAOB was
unconstitutional.
d. the plaintiff did not have standing to bring the suit.
UNIT NINE—FOCUS ON ETHICS:
GOVERNMENT REGULATION
B4. Cold Calls Corporation a telemarketing firm, files a suit to block the enforcement of
the Federal Trade Commission’s (FTC) amendment to the Telemarketing Sales Rule
establishing a national Do Not Call Registry, on the ground that it violates the First
Amendment to the U.S. Constitution. The court is most likely to hold that
a. the Do Not Call Registry is constitutional.
b. the FTC exceeded its authority.
c. the Telemarketing Sales Rule should be suspended pending review.
d. this claim is illegal.
B5. Mongo Ltd., a resource processor and refiner, generates waste that is discharged into
the air and water, contaminating the environment, which includes foreign countries. It
has been shown that the quickest, most effective, and most efficient way to reduce
pollution is most likely
a. economic development.
b. environmental education.
c. international protocols.
d. persuasive debating points.