Legal 2 Final Exam
2) Which of the following is a separate legal entity for most purposes? A) a corporation B) a general partnership C) a limited partnership D) a sole proprietorship
a
A corporation that is incorporated in another country is known as which of the following? A) an alien corporation B) a public corporation C) a domestic corporation D) a multinational corporation
a
A franchisor discloses a cautionary statement that reads, "Caution: Some outlets have sold this amount. There is no assurance you'll do as well. If you rely upon our figures, you must accept the risk of not doing so well." This is an example of ________. A) disclosure of earning projections based on actual data B) disclosure of sales projections based on hypothetical data C) nondisclosure of sales or earnings projections D) fraudulent disclosure by the franchisor
a
A public benefit corporation is also referred to as which of the following? A) a B corporation B) a C corporation C) a general partnership D) a limited liability company
a
According to the theory of ________, if a business corrects the social injury it causes, it has met its duty of social responsibility. A) moral minimum B) maximizing profits C) corporate citizenship D) stakeholder interest
a
Charlotte works as a teacher in Africa. Every Sunday, she visits nearby villages and convinces families to send their children to school. She arranges accommodation for these children and helps them with their education. In a recent interview, Charlotte mentioned that she looks up to Mother Teresa not only for inspiration but also to resolve ethical dilemmas. Which of the following theories would support Charlotte's approach to ethics? A) ethical fundamentalism B) utilitarianism C) Kantian ethics D) ethical relativism
a
Consistency and ________ are the two principles of Kantian ethics that state that a person must abide by the rule he uses to judge the morality of someone else's conduct. A) reversibility B) relativity C) universality D) utilitarianism
a
For how long does a corporation exist unless a specific duration is stated in the corporation's articles of incorporation? A) in perpetuity B) three (3) years C) seven (7) years D) twenty (20) years
a
How are ethical rules established in Kantian ethics? A) by a set of universal rules that are based on consistency and reversibility B) by following principles that have been derived from holy books C) by an individual's feelings on what is right and wrong D) by choosing the alternative that is best for society as a whole
a
In a(n) ________ franchise, the franchisor licenses the franchisee to make and sell its products or services to the public from a retail outlet serving an exclusive geographical territory. A) chain-style B) area C) distributorship D) processing plant
a
Stock for which any missed dividend payments must be paid in the future to the preferred shareholders before the common shareholders can receive any dividends are known as which of the following? A) cumulative preferred B) noncumulative preferred C) common D) participating preferred
a
The ________ is a uniform disclosure document that requires a franchisor to make specific presale disclosures to prospective franchisees. A) UFOC B) UCC C) UCITA D) SEA
a
The judicial dissolution of a corporation can be instituted by the attorney general of the state of incorporation based on which of the following? A) the corporation procured its articles of incorporation through fraud B) the corporation did not pay its requisite franchise fee C) the corporation failed to file an annual report D) the corporation failed for at least sixty (60) days to maintain a registered agent in its state of incorporation
a
The party to whom a license is granted is known as the ________. A) licensee B) licensor C) grantee D) grantor
a
Which of the following arises when a franchisor creates the image that a franchisee is its agent when in fact an actual agency does not exist? A) an apparent agency B) a joint venture C) a strategic alliance D) termination-at-will
a
Which of the following enforces federal franchising rules? A) the Federal Trade Commission (FTC) B) the Uniform Franchising Offering Circular (UFOC) C) the franchising agreement D) the subfranchisor
a
Which of the following is a clause that can be included in the articles of incorporation that permits the corporation to engage in any activity permitted by law? A) a general purpose clause B) a limited purpose clause C) a dissolution clause D) an ultra vires clause
a
Which of the following is a long-term debt security? A) a bond B) common stock C) preferred stock D) a note
a
Which of the following is a long-term unsecured debt instrument that is based on a corporation's general credit standing? A) a debenture B) a bond C) a note D) a treasury share
a
Which of the following is a moral theory which holds that individuals must decide what is ethical based on their own feelings about what is right and wrong? A) ethical relativism B) Kantian ethics C) utilitarianism D) Rawls's social justice theory
a
Which of the following is a type of equity security that represents the residual value of a corporation? A) common stock B) preferred stock C) cumulative preferred stock D) participating preferred stock
a
Which of the following is an ethical theory where a person adheres to rules or commands that are from an outside source, like a book or a central figure? A) ethical fundamentalism B) utilitarianism C) ethical relativismD ) Rawls's social justice theory
a
Which of the following is correct regarding a B corp? A) It is a for-profit corporation, but with missions additional to the pure profit motive. B) It is a non-profit corporation, with missions other than the profit motive. C) Its shareholders are the main stakeholders. D) In making corporate decisions, its directors and officers may not consider other stakeholders in making corporate decisions.
a
Which of the following is correct regarding an S corporation? A) It can have no more than one hundred (100) shareholders. B) Only foreign corporations with more than ten (10) shareholders can be an S corporation. C) It is taxed at the corporate level. D) It must be a member of an affiliated group of corporations.
a
Which of the following is most consistent with the "corporate citizenship" theory of social responsibility? A) Businesses are responsible for helping to solve social problems they did not cause. B) Businesses owe a duty to take actions that increase profits for shareholders. C) Businesses have a responsibility solely to their stakeholders and should strive to maximize stakeholder well-being. D) Businesses are obliged to consider the effects their actions have on persons other than their shareholders.
a
Which of the following is the basic governing document of a corporation? A) the articles of incorporation B) the Uniform Commercial Code (UCC) C) the articles of organization D) the partnership agreement
a
Which of the following is the special court that hears and decides business cases in Delaware? A) the court of chancery B) the Delaware Supreme Court C) the Superior Court of Delaware D) the court of common pleas
a
Which of the following is true of a franchise? A) The franchisor and franchisee are established as separate legal entities. B) A franchisee does not need a license to use the franchisor's trademark. C) The franchisee does not have access to the franchisor's knowledge. D) A franchise is considered a joint venture.
a
Which of the following moral theories would closely follow the categorical imperative "Do unto others as you would have them do unto you?" A) Kantian ethics B) moral relativism C) utilitarianism D) Rawls's social justice theory
a
Which of the following statements describes the moral theory of utilitarianism? A) People must choose the action or follow the rule that provides the greatest good to society. B) People must follow actions that are in accordance with a specific ethical rule or principle from a religious text. C) People must choose to follow actions of a virtuous person. D) People must follow actions based on moral duties imparted by one's community.
a
A ________ refers to an arrangement between two or more companies whereby they agree to ally themselves and work together to accomplish a designated objective. A) limited partnership B) strategic alliance C) joint venture D) franchise
b
A contract between a corporation and a holder that contains the terms of a debt security is known as which of the following? A) a bond B) an indenture C) a debenture D) a liquidation
b
A corporation is which of the following in the state in which it is incorporated? A) interstate B) domestic C) alien D) foreign
b
A corporation's express powers are found in all but which of the following? A) state statutes B) arrearages C) state corporation codes D) state administrative agency rules
b
A franchisor discloses a cautionary statement that reads, "Caution: These figures are only estimates of what we think you may earn. There is no assurance you'll do as well. If you rely upon our figures, you must accept the risk of not doing so well." This is an example of ________. A) disclosure of earning projections based on actual data B) disclosure of earning projections based on hypothetical data C) nondisclosure of sales or earnings projections D) fraudulent disclosure by the franchisor
b
A government or political party that strictly derives its ethics and laws based on a specific religious book is an example of ________. A) utilitarianism B) ethical fundamentalism C) ethical relativism D) Kantian ethics
b
A(n) ________ is established when one party licenses another party to use the first party's trade name, trademarks, commercial symbols, patents, copyrights, and other property in the distribution and selling of goods and services. A) covenant not to compete B) franchise C) apparent agency D) joint venture partnership
b
According to ________, keeping a promise to abide by a contract is a moral duty even if that contract turns out to be detrimental to the obligated party. A) utilitarianism B) Kantian ethics C) Rawls's social justice theory D) moral relativism
b
According to priority rules, which of the following claimants is the last to be paid after a corporation's assets have been liquidated? A) general creditors B) common stockholders C) preferred stockholders D) bond holders
b
Authorized shares that have not been sold by the corporation are known as which of the following? A) issued shares B) unissued shares C) outstanding shares D) liquidated shares
b
Consistency is one of the two important principles of ________ upon which its universal laws are based. A) utilitarianism B) Kantian ethics C) Rawls's social justice theory D) moral relativism
b
Corporations can be created only pursuant to which of the following? A) a general-purpose clause B) corporation codes C) arrearages D) a novation agreement
b
If a franchisor makes sales or earnings projections based on hypothetical examples, the franchisor must ________. A) display a cautionary statement that warns against misuse of the franchisor's intellectual properties B) disclose the assumptions underlying the estimates C) register the disclosure document with the Federal Trade Commission (FTC) prior to its use D) state that all data disclosed is only hypothetical and that actual data will be made available at the earliest
b
In a(n) ________ franchise, the franchisor authorizes the franchisee to negotiate and sell franchises on behalf of the franchisor. A) chain-style B) area C) distributorship D) processing plant
b
The involuntary dissolution of a corporation that is ordered by the secretary of state if a corporation has failed to comply with certain procedures required by law is known as which of the following? A) the corporation procured its articles of incorporation through fraud B) the corporation did not pay its requisite franchise fee C) the corporation failed to file an annual report D) the corporation failed for at least sixty (60) days to maintain a registered agent in its state of incorporation
b
The party who grants a license is known as the ________. A) licensee B) licensor C) grantee D) grantor
b
Which of the following acts is seen as conclusive proof of the existence of a corporation? A) creating one (1) or more promoter's contracts B) filing the articles of incorporation C) acquiring a domain name for the corporation D) selecting a state for incorporation
b
Which of the following criteria must be met for a company to be an S corporation? A) Shareholders must be other corporations or partnerships. B) Nonresident aliens cannot be shareholders. C) The corporation must have more than one hundred (100) shareholders. D) The corporation must have more than one (1) class of stock.
b
Which of the following documents sets forth the terms and conditions of a franchise? A) the FTC disclosure document B) the franchise agreement C) the articles of incorporation D) the articles of organization
b
Which of the following does the Federal Trade Commission (FTC) franchise rule require from franchisors? A) registration of the disclosure document with the FTC before it is used B) full presale disclosures to prospective franchisees nationwide C) statement to fully finance the infrastructure necessary to bring the franchisee to the franchisor's standard D) disclosure of license agreement made with franchisee that lets the franchisee use the franchisor's service mark
b
Which of the following illustrates consistency between ethics and the law? A) a company outsourcing its jobs to a foreign country B) a person being penalized for bribing a judge to give the verdict in the person's favor C) a company not spending more money to keep its emission rates below the legal standard D) a person hiring an illegal alien worker belonging to a destitute family
b
Which of the following is a business arrangement that occurs when the owner of intellectual property contracts to permit another party to use the intellectual property? A) a general partnership B) leasing C) licensing D) joint venturing
b
Which of the following is a general rule of corporation law that provides that generally shareholders are liable only to the extent of their capital contributions for the debts and obligations of their corporation and are not personally liable for the debts and obligations of the corporation? A) the limited-purpose clause B) the limited liability of shareholders C) the preferred shareholder rule D) the nonparticipating shareholder rule
b
Which of the following is a perceived disadvantage of Rawls's social justice theory? A) It allows for those in advantageous positions to suppress people in least advantageous positions. B) It doesn't consider the fact that people would not want to maximize benefits for the least advantaged persons. C) It only allocates people in advantageous positions to set up rules on morality. D) It postulates that there are no universal ethical rules to guide a person's conduct.
b
Which of the following is a person who organizes and starts a corporation, negotiates and enters into contracts in advance of its formation, and finds the initial investors to finance the corporation? A) an incorporator B) a promoter C) a third party beneficiary D) a member
b
Which of the following is a way of establishing ethical rules in Rawls's social justice theory? A) by a set of universal rules based on consistency and reversibility B) from an original position of a veil of ignorance C) by the ruling class or people in advantageous positions D) by following what's best for the society as a whole
b
Which of the following is also called deontological ethics? A) Rawls's social justice theory B) Kantian ethics C) utilitarianism D) moral relativism
b
Which of the following is correct regarding the liability of shareholders for a corporation's debts and obligations? A) Generally, shareholders have joint and several liability. B) Generally, shareholders have only limited liability. C) Generally, shareholders have unlimited liability. D) Generally, shareholders are not liable to the extent of their capital contributions.
b
Which of the following is incorrect regarding treasury shares? A) A corporation is permitted to repurchase its own shares. B) Shares that are issued pursuant to an initial public offering (IPO) are commonly called treasury shares. C) The Model Business Corporation Act (MBCA) eliminates the concept of treasury shares. D) The MBCA treats repurchased shares as authorized but unissued shares.
b
Which of the following is required for a corporation to elect statutory close corporation status? A) It must have at least one hundred (100) shareholders. B) It must have fifty (50) or fewer shareholders. C) It must have a twelve-member board of directors. D) It must have a written set of bylaws drafted by an attorney and approved by the secretary of state in its state of incorporation.
b
Which of the following is true of a joint venture? A) The parties to a joint venture are considered limited partners. B) Both parties to a joint venture have equal rights to manage the venture. C) A joint venture is a partnership that lasts for multiple projects. D) Parties to a joint venture are exempt from fiduciary duties to each other.
b
Which of the following moral theories is consistent with the dictum "I will keep the rules if everyone else does?" A) universalism B) social contract C) moral relativism D) utilitarianism
b
Which of the following must be included in the articles of incorporation? A) the minutes of the first organizational meeting of the board of directors B) the number of shares the corporation is authorized to issue C) the dissolution terms of corporation D) the corporate seal
b
Which of the following requires a public company to disclose whether it has adopted a code of ethics for its senior financial officers? A) the Glass-Steagall Act B) the Sarbanes-Oxley Act C) the Corporate Social Responsibility Act D) the Business Moral Minimum Accountability Act
b
f someone looks to the Bible or to the Koran for moral guidance, he may most likely adhere to the theory of ________. A) utilitarianism B) ethical relativism C) ethical fundamentalism D) Kantian ethics
b
long-term debt security that is secured by some form of collateral is referred to as which of the following? A) a treasury share B) a bond C) a note D) a debenture
b
A ________ is an arrangement in which two or more business entities combine their resources to pursue a single project or transaction. A) limited partnership B) license agreement C) joint venture D) franchise
c
A corporation usually has which of the following? A) arrearages accumulated for greater than 3 years B) independently contracted management C) centralized management D) decentralized management
c
A detailed set of rules adopted by the board of directors after a corporation is incorporated that contains provisions for managing a corporation are referred to as which of the following? A) ultra vires rules B) articles of incorporation C) bylaws D) minutes
c
A person or corporation that is empowered to accept service of process on behalf of a corporation is referred to as which of the following? A) a promoter B) an authorized shareholder C) a registered agent D) an incorporator
c
According to ethical relativism, ________. A) ethics rely on duties based on universal rules one is morally bound to follow B) each person is presumed to have entered a social contract with all others in society to obey ethical rules C) there are no universal ethical rules to guide a person's conduct D) people must choose an action or follow a rule that provides the greatest good to society
c
Conch Corporation (Conch), a global oil and gas company, plans to build a subsidized postsecondary vocational school in Ft. Lauderdale, Florida, where one of its offices is situated. The plan was put to vote and approved despite some objections from shareholders. The school is being built in collaboration with the local government. The objective is to help the youth of the neighborhood, especially school dropouts, learn vocational skills. What social responsibility theory describes Conch's initiative to build the school? A) moral minimum B) maximizing profits C) corporate citizenship D) stakeholder interest
c
From which of the following theories of morality is Rawls's social justice theory fundamentally derived? A) the theory of utilitarianism B) the theory of ethical fundamentalism C) the social contract theory D) the theory of moral relativism
c
In a(n) ________ franchise, the franchisor manufactures a product and licenses a retail dealer to sell the product to the public. A) processing plant B) area C) distributorship D) chain-style
c
JK Developers and KL Designs, both experts in architectural engineering, form a business agreement whereby they agree to work together for two years in order to complete the design of a planetarium. This is an example of a ________. A) franchise B) licensing agreement C) strategic alliance D) limited partnership
c
Kantian ethics is also referred to as ________ ethics. A) relativistic B) utilitarian C) duty D) nihilistic
c
Most franchise agreements permit a franchisor to terminate the franchise ________. A) at will B) after five years of franchising C) for cause D) without just cause
c
The area franchisee is called a ________. A) joint venturer B) limited partner C) subfranchisor D) strategic partner
c
The person responsible for the incorporation of a business is known as which of the following? A) a promoter B) a member C) an incorporator D) a director
c
Where should the Federal Trade Commission (FTC) franchise notice appear? A) in the licensing agreement between the franchisor and franchisee B) as a separate clause in the franchise agreement C) on the cover of a franchisor's required disclosure statement D) on the cover of a franchisee's required disclosure statement
c
Which of the following are typically large corporations with thousands of shareholders? A) closely held corporations B) nonprofit corporations C) publicly held corporations D) private corporations
c
Which of the following data must a franchisor disclose if the franchisor makes sales or earnings projections for a potential franchise location that are based on the actual sales, income, or profit figures of an existing franchise? A) contract details of the franchisor and the existing franchises B) management methods that have been adopted by the existing franchises C) the number and percentage of its actual franchises that have obtained such results D) any sales or marketing strategy employed by the franchisor in acquiring such results
c
Which of the following describes a foreign corporation? A) It is a corporation with incorporations in multiple states. B) It is a corporation in the state in which it is incorporated. C) It is a corporation in any state or jurisdiction other than the one in which it was formed. D) It is a corporation in the United States which has been incorporated in another country.
c
Which of the following is a criticism of Kantian ethics? A) It treats morality as if it were an impersonal mathematical calculation. B) It does not allow people to have subjective notions of right and wrong. C) It is difficult to reach consensus on universal rules. D) It distinguishes between the morality one uses to judge others and the morality one uses on oneself.
c
Which of the following is a set of moral principles or values that governs the conduct of an individual or a group? A) stakeholder interest B) outsourcing C) ethics D) offshoring
c
Which of the following is correct regarding a C Corporation? A) It cannot have more than fifty (50) shareholders. B) Its shareholders do not pay tax on corporate dividends they receive. C) Any corporation with more than one hundred (100) shareholders is automatically a C corporation for federal income tax purposes. D) Nonresident aliens cannot be shareholders.
c
Which of the following is correct regarding an amendment to the articles of incorporation that does not affect the rights attached to shares? A) The shareholders must propose a resolution recommending such an amendment. B) The shareholders must approve the amendment by majority vote. C) The board of directors can approve the amendment without shareholder approval. D) The amendment need not be filed with the secretary of state of the state of incorporation.
c
Which of the following is true of the liabilities of a franchisor and a franchisee? A) The franchisor is not liable for any tort arising out of the franchise. B) Both the franchisee and the franchisor are jointly liable for torts committed by either. C) Franchisees are only liable on their own contracts. D) Franchisors are always liable for the torts of the franchisees.
c
Which of the following moral theories states that people owe moral duties that are based on universal rules? A) moral relativism B) utilitarianism C) Kantian ethics D) ethical fundamentalism
c
Which of the following shares have the right to vote? A) unissued B) treasury C) outstanding D) liquidated
c
A corporation's express powers are found in all but which of the following? A) the United States Constitution B) state constitutions C) federal statutes D) the novation agreement
d
A social responsibility theory of business which says that a corporation's duty is to make a profit while avoiding causing harm to others is referred to as ________. A) stakeholder interest B) corporate citizenship C) maximizing profits D) moral minimum
d
An act by a corporation that is beyond its express or implied powers is called which of the following? A) a general-purpose clause B) a novation C) a liquidation preference D) ultra vires
d
Ethics and the law are ________. A) mutually exclusive B) parallel C) diametrically opposed D) intertwined
d
Guarantees that establish a debtor-creditor relationship in which the corporation borrows money from the investor to whom a debt security is issued are known as which of the following? A) authorized shares B) preferred stock C) common stock D) fixed income securities
d
If Steve Templeton, the owner of Templeton Plastics, Inc., decides to not close his manufacturing facility due to the negative impact such a closing would have on the local economy and the community, what business social responsibility will he be achieving? A) moral minimum B) corporate citizenship C) maximizing profits D) stakeholder interest
d
Issued shares that have been repurchased by the corporation are referred to as which of the following? A) outstanding shares B) liquidated shares C) unissued shares D) treasury shares
d
Licensing is an important business arrangement in which of the following markets (if any)? A) domestic only B) international only C) neither domestic nor international D) both domestic and international
d
Reversibility is a principle of Kantian ethics which says that ________. A) a person must be allowed to reverse her moral judgment to better suit her needs B) a person must treat all moral circumstances as one C) a person must be allowed to selectively choose moral judgments based on the circumstances D) a person must abide by the rule he uses to judge the morality of someone else's conduc
d
Stock that permits a corporation to buy back the preferred stock at some future date is known as which of the following? A) cumulative preferred B) participating preferred C) convertible preferred D) redeemable preferred
d
The dissolution of a corporation that has begun business or issued shares upon the recommendation of its board of directors and a majority vote of its shares entitled to vote is known as which of the following? A) liquidation B) judicial dissolution C) administrative dissolution D) voluntary dissolution
d
Which of the following is a clause included in the articles of incorporation that stipulates that the corporation can only engage in expressly stated purposes and activities? A) an ultra vires clause B) a dissolution clause C) a general purpose clause D) a limited purpose clause
d
Which of the following is a criticism of utilitarianism? A) It does not allow people to have subjective notions of right and wrong. B) It is based on moral duties derived from universal rules. C) It puts too much emphasis on one book or theory. D) It treats morality as if it were an impersonal mathematical calculation.
d
Which of the following is a debt security with a maturity of five (5) years or less? A) a bond B) a debenture C) an indenture D) a note
d
Which of the following is a moral theory which asserts that fairness is the essence of justice? A) Kantian ethics B) moral relativism C) utilitarianism D) Rawls's social justice theory
d
Which of the following is a preferred stockholder right to be paid a stated dollar amount if a corporation is dissolved and its assets redistributed? A) a noncumulative preference B) a cumulative dividend preference C) a dividend preference D) a liquidation preference
d
Which of the following is a social responsibility theory of business which says that a corporation must consider the effects its actions have on persons other than its shareholders? A) corporate citizenship B) maximizing profits C) moral minimum D) stakeholder interest
d
Which of the following is a theory that chooses the greatest good to society? A) Kantian ethics B) Rawls's social justice theory C) ethical fundamentalism D) utilitarianism
d
Which of the following is correct regarding Delaware General Corporation Law? A) It makes it easier for other companies to acquire (through friendly or hostile means) a Delaware corporation. B) The Delaware legislature seldom amends its corporation code to meet the demands of the business community. C) It is particularly written to be of benefit to non-profit organizations. D) It is the most advanced corporation law in the country.
d
Which of the following is correct regarding a corporation's liability for promoters' contracts if the corporation is never formed? A) The corporation assumes liability of the promoters' contract automatically upon its creation. B) The promoter's liabilities are transferred to the board of directors of the corporation upon its formation. C) The promoter, the corporation, and the third-party enter into a novation whereby liability is solely transferred to the corporation. D) The promoters have joint personal liability on the contract unless the third party specifically exempts them from such liability.
d
Which of the following is correct regarding corporate bylaws? A) They only contain rules stipulating how the corporation can deal with the government. B) They are only adopted by the shareholders of the corporation. C) They are not binding on the directors or shareholders of the corporation. D) They do not have to be filed with any government official.
d
Which of the following is imposed upon a franchisor that violates the Federal Trade Commission (FTC) franchise disclosure rule? A) FTC criminal action on behalf of the franchisee B) loss of intellectual property to the franchisee C) suspension of all business operations in the area D) an injunction against further franchise sales
d
Which of the following is not a major characteristic of a corporation? A) free transferability of shares B) perpetual existence C) centralized management D) tax-exempt status
d
Which of the following is true of a franchise that was terminated at will by the franchisor? A) The franchisee can only recover damages. B) The franchisor cannot be held liable for a termination at will. C) The franchisee cannot apply for a franchisee again in the same field of business. D) The franchisee can sue to recover damages and the franchise.
d
Which of the following is true of a joint venture corporation? A) The joint venturers are personally liable for debts of the joint venture corporation. B) Joint venturers do not owe each other fiduciary duties as a venture is a single business transaction. C) The management rights of joint venturers in a joint venture are divided in ratio of their capital investment. D) Each joint venture is liable for the debts and obligations of the joint venture.
d
Which of the following is true of a strategic alliance? A) Strategic alliances cannot have more than two entities. B) Strategic alliances cannot be formed between fellow competitors. C) Strategic alliances are usually formed to accomplish multiple business ventures. D) Strategic alliances do not provide the same protection and stability as mergers.
d
Which of the following is true of intellectual property of a franchisor? A) Trademarks do not qualify for patents. B) A word or motto that identifies a franchisor does not qualify for trademark protection. C) A service mark is exclusive to the franchisor and cannot be licensed to franchisees. D) Trade secrets of a franchisor do not qualify for patent protection.
d
Which of the following moral theories will help an anthropologist study ancient societies with an impartial and unprejudiced mindset, especially when it relates to comparing ethics and customs followed by ancient societies to those being followed by present societies? A) Rawls's social justice theory B) utilitarianism C) Kantian ethics D) ethical relativism
d
Which of the following must be filed with the secretary of state of the state of incorporation? A) the corporate bylaws B) the articles of organization C) the articles of partnership D) the articles of incorporation
d
Which of the following resembles a joint venture? A) a conglomerate B) a merged company C) a franchise D) a partnership
d
Which of the following typically have their shares traded on organized securities markets? A) professional corporations B) privately held corporations C) closely held corporations D) publicly held corporations
d
n which of the following types of franchise does a franchisor provide a secret formula or process to the franchisee? A) a chain-style franchise B) an area franchise C) a distributorship franchise D) a processing plant franchise
d