Business Law and Ethics (2018 - 19)

Harry accepts Frank's offer to sell a used car for $2,000. At what point is there a binding contract?

As soon as the agreement is made

How is a limited liability company formed?

By filing Articles of Organization in the state in which the LLC established

Assume the Securities and Exchanges Commission prosecutes someone for insider trading. That prosecution is an example of _____ law

Criminal

A legal entity formed by issuing stock to investors, who are the owners, is a limited partnership

False

A quasi-contract is an agreement by the parties to prevent unjust enrichment

False

Administrative agencies lack the authority to establish rules that have the force of law

False

All employees are agents of their employers, and all agents are employees.

False

An S corporation is an unincorporated business that is taxed like a partnership with the limited liability of a corporation

False

The promise in a note, or the order in a check or daft, must be conditional

False

There is only one correct answer for each ethical dilemma

False

Which of the following are laws holding that people in peril who receive voluntary aid from others cannot hold those offering aid liable for negligence?

Good Samaritan Statutes

Gretchen offers $100 to anyone who can return her lost dog, Sparky. Haley Returns the dog and requests the money. Gretchen says that there is no binding contract. Which of the following is true regarding Gretchen's statement?

Gretchen is incorrect because there is a binding unilateral contract that Haley accepted by performing.

If the subject matter of an offer is destroyed, the offer______

Immediately terminates

what is a common classification of torts?

Intentional, negligent, and strict-liability

Defamation is a broad term that includes both ____.

Libel and slander

All cutting grass and driving off campus to check on her new dress for the upcoming formal, Molly is busy talking On her cell phone with a friend, Sharon. Unfortunately for Molly, there is a statue in her State outline talking on a cell phone while operating a motor vehicle. Molly crashes into Sam's new convertible when she looks down to pick up a can of soda she just dropped onto her new jeans. A police officer just sat down the street coming over to investigate. Molly explained to him that it was difficult to hold the phone in one hand, the soda in the other, and drive. The officer was not impressed. What is true regarding Molly's predicament?

Molly can be sued in a civil action by Same, and she can also be prosecuted by the government for a criminal violation.

_____ torts occurs when the defendant acts in a way that subjects other than people to an unreasonable risk of harm.

Negligent

In most situations, how many principals may an agent represent in any one agreement?

One

If an agent makes a fraudulent statement in a contract within the scope of his or her authority, then the _____.

Principal is responsible

What characteristics must a written document have in order to satisfy the requirement that a negotiable instrument is in writing?

Relative permanence and movability

Which of the following is the most popular form of business ownership in the U.S.?

Sole proprietorship

Penny is investigating what she needs to do to legally open a dog grooming business in her city. What would govern the business?

State statutes and city ordinances, but not model laws

Credit card application include ______ under the Truth in Lending Act

The APR, annual fees, and the grace period for paying without a finance charge

What are the elements of a binding contract?

The agreement, consideration, contractual capacity, and legal object

Which of the following is true regarding the intent needed for an intentional tort?

The antenna issue is not intend to harm but, rather is intent to engage in a specific act, which ultimately result in an injury, physical or economic, another

A business decision can be legal but unethical

True

A contract that arises from the conduct of the parties is an implied contract

True

A copyright is the protection of the expression of a fixed form that expresses ideas

True

A negotiable instrument is substitution for cash

True

A power of attorney is a document that gives an agent authority to sign legal documents on behalf of the principal

True

A tort, in contrast to a crime, is a violation of the rights of an identifiable individual or business that has been wronged either intentionally or by negligence.

True

An invention may be considered a trade secrete

True

Corporate income is taxed twice

True

In a partnership, the income of the business is a personal income and business losses can b deducted from taxes

True

Judicial decisions are law unless they are revoked later by a new statutory law

True

Simply offering a better deal is not enough to create liability for intentional interference with the contract when only a prospective contract exists.

True

State laws may give employees more, but not less protection than federal law

True

The Americans with Disabilities Act is enforced by the Equal Employment Opportunity Commission in the same way that titled VII is enforced

True

In a_____, all the partner's liability for professional malpractice is limited to the partnership.

limited liability partnership

Case law can be revoked by ___)

new statues

In ethics, the "public disclosure" test is also known as the ____ test

television

All the following are the influencing factors on both group values and individual values except _____.

wealth

By federal law, major credit reporting agencies are now required to provide consumers with a free copy of their credit report every _____.

12 months

The fair labor standards act mandates that employees who are not excluded who work more than_____ hours in a week be paid no less than 1 and 1/2 times their regular wage for all the hours Beyond______- that they work during a given week.

40:;40

Which of the following is true if no means of communicating an acceptance is specified in an offer?

Acceptance may be made by any reasonable means

The law of contracts is primarily ______ law

Common

Which of the following types of damages is intended to reimburse a plaintiff for his or her losses?

Compensatory

If a trademark is registered, what may the owner obtain in the event of infringement from a person who used the trademark to pass off goods as being those of the mark owner?

Damages and an injunction prohibiting the infringer from using the mark

Which of the following provides that a portion of a copyrighted work may be reproduced for purpose of criticism, comment, news reporting, teaching, scholarships, and research?

The fair-use doctrine

A _____ provides a safe means of transferring money and serves as a receipt when paid and canceled by the bank

check