Finance Exam 4

Katherine loses her ATM card while visiting her boyfriend in Boston. She doesn't realize it until she gets home to New Jersey after a week in Boston. She immediately notifies the bank that she lost her card 7 days ago. How much is Katherine liable for in losses?

$500

The Family and Medical Leave Act gives employees the right to take:

12 weeks of unpaid leave per year for health and family-related reasons

For the NLRB to oversee a representation election, at least what percent of employees must request an election?

30%

For the Family and Medical Leave Act to apply to a private business, the business must have at least ______ employees

50

Jimmy must be at work no later than 7 AM on the days he works. Because he must hurry to get to work, he runs over a lady going across the street. She sues Jimmy and his employer for her injuries. She has:

A case against Jimmy, but not his employer

An agent is trying to sell a house for $100,000 for her principal. The principal will sell the house for as little as $80,000, but wants to get as much as possible. The agent tells her cousin to offer $81,000. The agent's actions are:

A violation of the duty of loyalty

The Fair Debt Collection Practices Act restricts:

Abusive techniques used by debt collection agencies

Agency by estoppel means:

Actions by the principal lead a person to believe that the presumed agent has authority to act on the principal's behalf

_______ is the authority given by the principal to the agent

Actual authority

A deliberate effort by an employer to remedy discriminatory practices in the hiring, training, and promotion of protected class members is called:

Affirmative action

What is not a feature of the Consumer Credit Protection Act:

All of the above

Under the Fair Credit Reporting Act, a consumer reporting agency (credit bureau) must:

Allow consumers to see information about them that results in their being denied credit

Barbara, a purchasing agent for UTA, was fired for good reason. Being angry about her dismissal, she calls one of UTA's suppliers and orders 1,000 purple widgets UTA does not need. If UTA, the principal, is held liable for this transaction, it is because Barbara had:

Apparent authority

Sexual harassment does not appear to include:

Asking a co-worker to go on a date

Many employers monitor the e-mails their employees send and receive at work. The courts have held that this practice is legal:

Because e-mails are being transmitted on company time and property

Under the securities law, liability for misstatements:

Can be imposed for overly optimistic statements made by executives that are not soundly grounded

If Joe, an African-American employer with light skin, discriminates against Omar, an African-American employee with dark skin, Omar will most likely file a discrimination case based on:

Color

What is not true about the operation of the Occupational Safety and Health Act?

Compliance with OSHA standards is voluntary

If a person has to quit their employment because of sexual or racial harassment, it is called:

Constructive discharge

Ms. Yu only hires Chinese men and women to work at her Chinese restaurant. She believes that customers prefer to be served by Chinese. Lisa Freeman (not Chinese) applies to work at the restaurant and is rejected. Yu's actions may be illegal:

Disparate treatment

The _______ was designed to guarantee the expectations of retirement plan participants to promote the growth of private pension plans

Employees Retirement Income Security Act

Collective bargaining refers to the process by which:

Employer and the union negotiate an employment contract

Under federal immigration law all:

Employers must collect evidence of citizenship or of legal work status for all employees

The agency given the power to file suits against employers and unions believed to be violating Title VII of the Civil Rights Act is the:

Equal Employment Opportunity Commission

_______ is the raising of funds through the sale of company stock

Equity financing

The Americans with Disabilities Act applies to employers with:

Fifteen or more employees

Workers' compensation law:

Gives an employer immunity from employee tort suits arising from on-the-job accidents

Equity financing differs from debt financing in that, with equity financing, a company:

Has no liability to repay shareholders the amount they have invested

Karen has a history of drunk driving and has been convicted several times. The Pizza Parlor hires her as a delivery person, despite knowing her history. If Karen causes an accident while on the job because she ahas even drinking you would expect the courts to:

Hold The Pizza Parlor liable for negligence in hiring

Denying a woman a job, assignment, or promotion because she is pregnant or has children is:

Illegal because it is a form of pregnancy discrimination

The buying or selling of stock by persons who have access to information affecting the value or the stock that has not yet been revealed to the public is called:

Insider trading

A power of attorney:

Is a document that creates an agency

An at-will employee:

May be dismissed at any time without reason or cause

Anna hires Jack to paint her house. He supplies his equipment and buys the paint for which he will be paid by Anna. One day while Jack is painting, Anna invites Tom for lunch. As Tom is walking into the house, Jack accidentally drops a can of paint on his head. With respect to agency law, is Anna liable for the harms Jack causes Tom?

No, because Jack is an independent contractor

Employees may be required to sign, as a condition of employment, an agreement that they will not leave the company and go to work for themselves or a competitor firm in a position that could inflict competitive injury on the employer. This is called:

Noncompete agreement

A tender offer takes place when:

One company attempts to take over another company

Comparing regulation of drugs to other countries, the U.S. is:

One of the strictest nations and has great impact on the world market

The Age Discrimination in Employment Act holds it illegal to discriminate in employment against:

Persons aged 40 and over

The intent of the Nutrition Labeling and Education Act is to:

Prevent misleading product claims

Through an agency relationship, the agent becomes a representative of the:

Principal

The federal agency that has the most to do with regulation of the securities markets is the:

Securities and Exchange Commission

Which is not a protected class under Title VII:

Sexual orientation

Applicants who want to sell a drug in the US market must:

Submit evidence that the drug is safe for its intended use

Which of the following is not a requirement of the Drug-Free Workplace Act imposed on all companies that do more than $25,000 worth of business with the federal government?

Test new employees for possible drug use

Under SEC rules, a "publicly held company" is a company:

That has issued securities that are publicly traded

If, at a trial where a person has claimed employment discrimination has occurred, and the employer has offered a non-discriminatory rationale for what happened, then:

The plaintiff must show the employer's reason is a pretext or excuse for illegal behavior

A principal has a duty ______ the agent for reasonable expenses incurred in carrying out the duties of the agency

To reimburse

When liability is imposed on the principal for the unauthorized torts of an agent, it is called:

Vicarious liability

A trucking company has employees who load 100-pound sacks on trucks. Of those who apply for the jobs, one man in three can lift 100-pound sacks, but only one woman in fifty. As a result, all 40 employees are men. In sex discrimination suit, the most likely result will be that the company will:

Win because there is a business necessity that produces the all male workforce

A proxy is best described as:

permission by a stockholder to someone else to vote their shares a certain way