Although shareholders are the owners of the corporation, control rests with the board.
In 2000, Microsoft was charged with violating federal antitrust laws by maintaining
market dominance through anticompetitive means.
Lemon laws govern the export and sale of agricultural produce.
The states have primary responsibility for enforcing the Clean Water Act.
Generally, after a judgment is rendered, the appeals court tries a case again and hears
new evidence.
The North American Free Trade Agreement exists among the United States, Canada and
_____.
A. Mexico
B. Brazil
C. Cuba
D. Guatemala
Which of the following refers to the term blue laws? A. They are laws forbidding the
practice of certain professions without a license.
B. They are laws forbidding usury.
C. They are laws forbidding the conduct of certain kinds of business on Sundays.
D. They are laws forbidding gambling.
Which of the following is a necessary condition for establishing defamation?
A. A true statement about the victim
B. Harm to the victim’s reputation
C. A statement that is so inherently damaging that actual injury need not be shown
D. Communication of a false statement to only the victim
Which of the following was enacted for the purpose of identifying and cleaning up
abandoned hazardous waste sites?
A. The Clean Water Act
B. The Toxic Substances Control Act
C. The Resource Conservation and Recovery Act
D. The Comprehensive Environmental Response, Compensation, and Liability Act
Which of the following falls under the “expected” category of Carroll’s Social
Responsibility Pyramid?
A. Philanthropic responsibilities
B. Economic responsibilities
C. Legal responsibilities
D. Ethical responsibilities
Which of the following is a view professed by Nobel prize-winning economist Milton
Friedman?
A. Socially responsible behavior, within reasonable bounds, is simply the “right thing”
to do.
B. A strong bottom line, in many cases, requires considerations beyond the immediate,
short-run, profit-maximizing interests of a firm.
C. Any dilution of the profit-maximizing mode-such as charitable contributions-is a
misuse of the stockholders€ resources.
D. In the environmental domain, sustainability will require attention to energy
efficiency, waste minimization, recycling, and the total ecological agenda.
Which of the following statements about lockouts is true?
A. The National Labor Relations Board (NLRB) prohibits lockouts as defensive acts to
protect businesses against sudden strikes.
B. Some court decisions have expanded lawful lockouts to include those of an offensive
nature designed to improve management’s bargaining position.
C. Lockouts are clearly lawful even if they are designed to interfere with union
members’ bargaining rights and other legitimate union activity.
D. The courts consider lockouts to be unfair labor practices, even if they are initiated to
prevent sabotage or violence.
If a consumer claims that his or her credit file contains inaccurate information, the
concerned credit reporting agency (CRA) merely has to verify that it took the
information accurately from the original source and has no duty to investigate further.
Which of the following statements is true of Article I, Section 8, Clause 3 of the
Constitution?
A. It gives Congress the power to regulate commerce.
B. It sets up the executive branch, headed by the president.
C. It addresses the relationship between the federal government and the states.
D. It provides for the supremacy of federal law over state law.
_____ has been interpreted to forbid discrimination on the basis of race in employment,
which is essentially a contractual relationship.
A. The Civil Rights Act of 1866
B. The Social Security Act
C. The Judicial Circuits Act
D. The Rehabilitation Act of 1973
Which of the following is true of the Bill of Rights?
A. It consists of 17 amendments (11 through 27), which were adopted at various times
from 1798 to 1992.
B. The Bill of Rights serves to enhance the powers of the federal government and the
states.
C. The Bill of Rights protects our personal freedoms from encroachment by the federal
government.
D. It is a commercial document reflecting the economic interests of framers.
Many businesses in competition meant that none of them could corner economic,
political, or social power. Which of the following goals of antitrust law best describes
the above statement?
A) The preservation of competition
B) The preservation of small businesses
C) An expression of political radicalism
D) The preservation of democracy
Which of the following is true of the Warrant Clause of the Fourth Amendment?
A. It protects commercial buildings as well as private homes from unauthorized
searches.
B. It prohibits the taking of private property for public use without “just compensation”
for the owner.
C. It protects the right of the people to keep and bear arms.
D. It forbids the government to deprive citizens of life, liberty, or property without due
process of law.
Briefly explain the social responsibility continuum for businesses in America.
A _____ is simply an extension of a foreign corporation into the host country.
A. joint venture
B. distributorship
C. branch office
D. foreign agency
If people wish to connect to the Internet, they contract with a commercial Internet
service provider and pay a fee for the type and level of service they desire. They then
have access to any content provider. This uniform access is referred to as _____.
A. net equality
B. net connectivity
C. net neutrality
D. net activity
Which of the following universal stages is grouped under the conventional level?
A. Adhering to stereotypical images
B. Obeying rules to avoid punishment
C. Following self-chosen universal ethical principles
D. Conforming to secure rewards
Which of the following is a network of infected computers that can be harnessed to take
coordinated action, such as sending spam?
A. Botnet
B. Adware
C. Malware
D. Spambot
“The power of the business community has become so encompassing that virtually all
dimensions of American life have absorbed elements of the business ethic.” Explain.
Briefly describe the three important forms of bankruptcy action.
Describe implied warranty of merchantability and implied warranty of fitness for a
particular purpose.
Identify and define any three types of damages that may be available as remedies in law
in a contract action and give an example of each.
Explain in general what state workers’ compensation laws do.
Give some examples of environmental degradation in the United States and in the
world.
List the potential benefits and hazards of mergers.
Explain in brief the role and function of a small claims court.
Discuss political action committees (PACs) in the context of corporations.