Corporate Law
Chapter Exam Questions
Course Introduction
Corporate Law is a foundational course that explores the legal principles and regulatory framework governing the formation, operation, and dissolution of corporations. It examines topics such as corporate personality, governance structures, shareholders rights, directors duties, fiduciary obligations, mergers and acquisitions, and insolvency procedures. Students will analyze statutory provisions, case law, and contemporary issues affecting corporations, developing a comprehensive understanding of how legal frameworks shape business practices and promote accountability in the corporate sector.
Recommended Textbook
Business Law Principles for Todays Commercial Environment 4th Edition by David
Available Study Resources on Quizplus
52 Chapters
2754 Verified Questions
2754 Flashcards
Source URL: https://quizplus.com/study-set/2052
Page 2
P. Twomey
Chapter 1: The Nature and Sources of Law
Available Study Resources on Quizplus for this Chatper
60 Verified Questions
60 Flashcards
Source URL: https://quizplus.com/quiz/40818
Sample Questions
Q1) Rights always stand alone,without any duties.
A)True
B)False Answer: False
Q2) Statutes are the only source of law.
A)True
B)False Answer: False
Q3) Within each state in the United States,only one constitution is in force.
A)True
B)False Answer: False
Q4) Both Congress and state legislatures enact statutory law.
A)True
B)False Answer: True
Q5) Uniform State Law generally is not applicable to business.
A)True
B)False
Answer: False
Page 3
To view all questions and flashcards with answers, click on the resource link above.
Chapter 2: The Court System and Dispute Resolution
Available Study Resources on Quizplus for this Chatper
57 Verified Questions
57 Flashcards
Source URL: https://quizplus.com/quiz/40819
Sample Questions
Q1) The person who initiates a civil lawsuit is called the: A)defendant.
B)prosecutor
C)plaintiff.
D)judge.
Answer: C
Q2) Which of the following is an example of limited or special jurisdiction court?
A)Probate court
B)Juvenile court
C)Domestic Relations court
D)All of the above.
Answer: D
Q3) Original jurisdiction courts are generally ____________.
A)supreme courts
B)appellate courts
C)trial courts
D)limited courts
Answer: C
To view all questions and flashcards with answers, click on the resource link above.
4
Chapter 3: Business Ethics, social Forces, and the Law
Available Study Resources on Quizplus for this Chatper
52 Verified Questions
52 Flashcards
Source URL: https://quizplus.com/quiz/40820
Sample Questions
Q1) Over half of all Fortune 500 firms train their employees to recognize and deal with particular types of behavior that breach their ethical codes.
A)True
B)False
Answer: True
Q2) "Primum non nocere" is Latin for:
A)Above all,do no harm.
B)Let the buyer beware.
C)Hear no evil,see no evil,and speak no evil.
D)No news is good news.
Answer: A
Q3) Positive law:
A)is enacted by government authority.
B)ensures that businesses will follow a high level of ethical standards.
C)is also known as natural law.
D)all of the above.
Answer: A
To view all questions and flashcards with answers, click on the resource link above. Page 5
Chapter 4: The Constitution As the Foundation of the Legal Environment
Available Study Resources on Quizplus for this Chatper
59 Verified Questions
59 Flashcards
Source URL: https://quizplus.com/quiz/40821
Sample Questions
Q1) A constitution is the written document that establishes the structure of the government and its relationship to the people.
A)True
B)False
Q2) Some of the powers delegated to the national government still may be exercised by the states.
A)True
B)False
Q3) The power of the states to adopt laws to protect the general welfare of the people is called police power.
A)True
B)False
Q4) The U.S.Constitution has been amended:
A)only expressly.
B)only by interpretation.
C)only by practice.
D)by all of the ways listed above.
To view all questions and flashcards with answers, click on the resource link above. Page 6
Chapter 5: Government Regulation of Competition and Prices
Available Study Resources on Quizplus for this Chatper
47 Verified Questions
47 Flashcards
Source URL: https://quizplus.com/quiz/40822
Sample Questions
Q1) The United States Supreme Court generally has held that vertical merger agreements should not automatically be condemned as an unlawful restraint of interstate commerce merely because they create the potential to monopolize it.
A)True
B)False
Q2) The Clayton Act prohibits price discrimination between different buyers of like commodities when the effect may be to substantially lessen competition.
A)True
B)False
Q3) Freezo Refrigerators are sold by various retailers. Most of the same retailers also sell Icy Refrigerators. The Freezo brand outsells Icy in some stores,but not in others.Freezo has decided to offer secret bonuses and discounts to retailers where the sale of Freezo Refrigerators lags behind the sale of Icy Refrigerators. Freezo sees this action as an advertising ploy to increase market share. Retail stores where Freezo is number one are not eligible for any of these bonuses and discounts. Discuss the implications of Freezo's advertising plan.
To view all questions and flashcards with answers, click on the resource link above.
Chapter 6: Administrative Agencies
Available Study Resources on Quizplus for this Chatper
58 Verified Questions
58 Flashcards
Source URL: https://quizplus.com/quiz/40823
Sample Questions
Q1) The Administrative Procedure Act is a federal law that establishes the operating rules for administrative agencies.
A)True
B)False
Q2) Before an agency can begin rulemaking proceedings it must be given jurisdiction:
A)by congressional enactment in the form of a statute.
B)granted by an executive order of the President of the United States.
C)from the United States Supreme Court.
D)none of the above.
Q3) In an emergency,an administrative agency can act beyond the scope of the statute that created it.
A)True
B)False
Q4) Proposed administrative regulations must be:
A)printed in the Federal Register.
B)published in the trade journals of those trades that will be affected by the proposed rules.
C)both a.and b.
D)none of the above.
To view all questions and flashcards with answers, click on the resource link above. Page 8
Chapter 7: The Legal Environment of International Trade
Available Study Resources on Quizplus for this Chatper
57 Verified Questions
57 Flashcards
Source URL: https://quizplus.com/quiz/40824
Sample Questions
Q1) NAFTA seeks to eliminate tariffs among which countries?
A)all members of the United Nations
B)United States,Canada,and Mexico
C)United States and Japan
D)members of the common market
Q2) One reason the U.S.controls the export of goods and technology is:
A)for national security reason.
B)foreign policy.
C)short supply of domestic goods.
D)All of the above are reasons the U.S.controls the export of goods and techonolgy.
Q3) In antidumping cases:
A)The International Trade Administration determines whether foreign goods are being sold in the United States at less than fair value (LTFV).
B)The International Trade Commission determines if there is an injury to a U.S.industry as a result of such sales.
C)Remedial action will be taken only if findings of both LTFV sales and injury are present.
D)All of the above
To view all questions and flashcards with answers, click on the resource link above.
Chapter 8: Crimes
Available Study Resources on Quizplus for this Chatper
60 Verified Questions
60 Flashcards
Source URL: https://quizplus.com/quiz/40825
Sample Questions
Q1) The issuing or delivery of a forged instrument to another person constitutes the crime of counterfeiting a forged instrument.
A)True
B)False
Q2) Because a corporation is not a human being,it cannot be convicted of a crime.
A)True
B)False
Q3) The unauthorized use of a computer belonging to someone else is:
A)a crime in all states.
B)a crime in some states.
C)not a crime in any state.
D)a crime under federal law only.
Q4) The Economic-Espionage Act (EEA):
A)makes it a crime to use a fraudulently obtained device to obtain money through a electronic fund transfer system.
B)makes it a crime to send unsolicited bulk emails.
C)makes it a crime to transfer proprietary files,documents and information from a computer to an unauthorized person.
D)all of the above.
To view all questions and flashcards with answers, click on the resource link above. Page 10
Chapter 9: Torts
Available Study Resources on Quizplus for this Chatper
58 Verified Questions
58 Flashcards
Source URL: https://quizplus.com/quiz/40826
Sample Questions
Q1) Comparative negligence:
A)has been rejected by most of the states.
B)allows a comparison of negligence between plaintiff and defendant.
C)only applies when the plaintiff has signed a release.
D)is a bar to recovery under common law.
Q2) Libel is the printed equivalent of the spoken form of defamation known as slander.
A)True
B)False
Q3) The tort of invasion of privacy always requires the misappropriation of another's name or likeness.
A)True
B)False
Q4) Under the tort of false imprisonment,shopkeepers are prevented from detaining anyone whom they believe has shoplifted.
A)True
B)False
Q5) Product disparagement is a form of defamation.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 11
Chapter 10: Intellectual Property Rights
Available Study Resources on Quizplus for this Chatper
52 Verified Questions
52 Flashcards
Source URL: https://quizplus.com/quiz/40827
Sample Questions
Q1) A showing that an invention as a whole would have been obvious to a person of ordinary skill in the art when the invention was patented is called subsequent art.
A)True
B)False
Q2) The Lanham Act grants protection for: A)marks.
B)patents.
C)copyrights.
D)trade secrets.
Q3) Computer programs are subject to protection in the U.S.under: A)copyright laws.
B)patent laws.
C)trade secret laws.
D)all of the above.
Q4) Trade dress refers to the packaging look and overall image of a product. A)True B)False
To view all questions and flashcards with answers, click on the resource link above. Page 12
Chapter 11: Cyberlaw
Available Study Resources on Quizplus for this Chatper
42 Verified Questions
42 Flashcards
Source URL: https://quizplus.com/quiz/40828
Sample Questions
Q1) The Federal Trade Commission (FTC)has begun to take positions on Internet issues that are:
A)tailored to Cyberspace.
B)specific to the type of website that has the issue.
C)identical to its stances of other types of commerce issues.
D)none of the above.
Q2) Potential employers are free to do pre-hiring monitoring of applicants without their knowledge.
A)True
B)False
Q3) Federal law now recognizes the validity of electronic signatures.
A)True
B)False
Q4) __________ is a federal law that recognizes digital signatures as authentic for purposes of contract formation.
A)Cyber-sign
B)We-sign
C)Electra-sign
D)E-sign
To view all questions and flashcards with answers, click on the resource link above. Page 13
Chapter 12: Nature and Classes of Contracts: Contracting on
the Internet
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40829
Sample Questions
Q1) An implied contract is shown by:
A)a writing.
B)the acts and conduct of the parties.
C)statements made in open court.
D)an exchange of oral promises.
Q2) An agreement arises when one person,the __________,makes an offer and the other person to whom the offer is made,the __________,accepts.
A)grantor; grantee
B)grantee; grantor
C)offeror; offeree
D)offeree; offeror
Q3) The greatest risk to purchasing online is providing your credit card information to the seller.
A)True
B)False
Q4) When a contract is fully performed by one party,it is called a unilateral contract. A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 14
Chapter 13: Formation of Contracts: Offer and Acceptance
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40830
Sample Questions
Q1) In an auction __________,the auctioneer takes bids as agent for the seller with the understanding that no contract is formed until the seller accepts the transaction.
A)without reserve
B)with reserve
C)without preserve
D)with preserve
Q2) When an offer has been accepted:
A)a subsequent revocation of the offer may serve to nullify the resulting contract.
B)a contract is formed,assuming that all of the other elements of a contract are present. C)either party may withdraw from the resulting contract without consent.
D)the acceptance is executory.
Q3) If the offeree purports to accept an offer but in so doing makes any change to the terms of the offer,such action is a counteroffer that rejects the original offer.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
15
Chapter 14: Capacity and Genuine Assent
Available Study Resources on Quizplus for this Chatper
44 Verified Questions
44 Flashcards
Source URL: https://quizplus.com/quiz/40831
Sample Questions
Q1) A contract obtained by physical duress is void.
A)True
B)False
Q2) A finding of undue influence would most likely not occur in a contract between:
A)parent and child.
B)attorney and client.
C)neighbor and neighbor.
D)guardian and ward.
Q3) Roberta,an educated person,purchased real estate from Maurice.Roberta did not read entirely the contract that she signed.As a result,she did not notice the provision in the contract about the interest imposed on the unpaid portion of the purchase price.She refused to pay the interest specified in the contract.Maurice sued her.Could he recover?
Q4) As a general rule,the nondisclosure of information that is not asked for does not impose fraud liability or impair the validity of a contract.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 16
Chapter 15: Consideration
Available Study Resources on Quizplus for this Chatper
49 Verified Questions
49 Flashcards
Source URL: https://quizplus.com/quiz/40832
Sample Questions
Q1) When there is no consideration for a promise,the agreement is:
A)a quasi contract.
B)equitable.
C)not binding.
D)unethical.
Q2) Which of the following is not consideration for a present promise?
A)a good faith adjustment
B)compromise and release of claims
C)the promise to pay one's child support obligation,consistent with a pre-existing court order.
D)the performance of a requested act
Q3) What damages are recoverable in a case of promissory estoppel?
A)profits that the promisor expected
B)profits that the promisee expected
C)an amount necessary to restore the promisee to the position he or she would have been in had the promisee not relied on the promise
D)an amount necessary to restore the promisor to the position he or she would have been in had the promisor not relied on the promise
To view all questions and flashcards with answers, click on the resource link above.
17
Chapter 16: Legality and Public Policy
Available Study Resources on Quizplus for this Chatper
49 Verified Questions
49 Flashcards
Source URL: https://quizplus.com/quiz/40833
Sample Questions
Q1) When parties are not equally guilty,the least guilty party is granted relief when it is in the public interest.
A)True
B)False
Q2) Private lotteries,which generally are held to be illegal,involve three elements:
A)prize,chance,and consideration.
B)return,skill,and wager.
C)prize,skill,and consideration.
D)attractive return,minimal involvement,and skill.
Q3) A noncompetition covenant may be held invalid because of vagueness concerning the duration and geographic area of the restriction.
A)True
B)False
Q4) Public policy:
A)can be precisely defined
B)is frequently used by the courts as a reason to invalidate contracts
C)is protections from that which violates any established interest of society
D)all of the above
To view all questions and flashcards with answers, click on the resource link above.
18
Chapter 17: Writing, electronic Forms, and Interpretation of Contracts
Available Study Resources on Quizplus for this Chatper
60 Verified Questions
60 Flashcards
Source URL: https://quizplus.com/quiz/40834
Sample Questions
Q1) Parol evidence generally is admissible to explain:
A)ambiguous terms.
B)why signatures are missing.
C)why a contract was not performed.
D)implied terms.
Q2) If a contract is unclear,it will be interpreted against the party who drafted it.
A)True
B)False
Q3) If words and numbers contradict each other in a contract,the rule of construction favors the words.
A)True
B)False
Q4) The parol evidence rule is based on the theory that any oral agreement was abandoned when the contact was written.
A)True
B)False
Q5) Customs and trade usage can override the express provisions of a contract.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 19
Chapter 18: Third Persons and Contracts
Available Study Resources on Quizplus for this Chatper
51 Verified Questions
51 Flashcards
Source URL: https://quizplus.com/quiz/40835
Sample Questions
Q1) Generally,only the parties to a contract may sue on it.
A)True
B)False
Q2) If there is a time limitation or any other restriction in a contract,a third-party beneficiary:
A)may ignore it.
B)may void it.
C)is bound thereby.
D)must consent to be bound thereby before it is effective.
Q3) If the obligor is notified in any manner that there has been an assignment and that any money due must be paid to the assignee,the obligor's obligation can be discharged only by making payment to the assignee.
A)True
B)False
Q4) Only written words that show an intention to transfer or assign will be given the effect of an assignment.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 20
Chapter 19: Discharge of Contracts
Available Study Resources on Quizplus for this Chatper
57 Verified Questions
57 Flashcards
Source URL: https://quizplus.com/quiz/40836
Sample Questions
Q1) Which of the following is not an element of an accord and satisfaction?
A)a bona fide dispute
B)a proposal to settle the dispute
C)performance of the agreement to settle the dispute
D)reservation of rights under the federal Consumer Credit Protection Act
Q2) A change of law discharges a contract if the new law:
A)requires a license and none was required before.
B)requires the use of fireproof materials.
C)requires the use of antipollution devices.
D)prohibits the act called for by the contract.
Q3) For the parties to enter into an accord and satisfaction that discharges the original obligation,there must be a bona fide dispute.
A)True
B)False
Q4) If no time period for performance is specified in a contract:
A)the contract is unenforceable.
B)time shall be of the essence.
C)a reasonable time for performance will be implied.
D)the time for performance will be ignored by the courts.
To view all questions and flashcards with answers, click on the resource link above. Page 21
Chapter 20: Breach of Contract and Remedies
Available Study Resources on Quizplus for this Chatper
58 Verified Questions
58 Flashcards
Source URL: https://quizplus.com/quiz/40837
Sample Questions
Q1) The measure of monetary damages when there has been a breach of contract is the sum of money that will place the injured party in the same position that would have been attained if the contract had been performed.
A)True
B)False
Q2) Punitive damages are generally recoverable in contract actions.
A)True
B)False
Q3) Which is not a correct statement concerning rescission of a contract?
A)The breach must be material.
B)The injured party who rescinds may recover money paid under the contract.
C)The contract remains in effect after the rescission.
D)Rescission is the undoing of the contract.
Q4) Only direct losses from a breach of contract may be recovered by an injured party.
A)True B)False
Q5) Whether there has been a waiver is a question of fact.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 22
Chapter 21: Personal Property and Bailments
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40838
Sample Questions
Q1) Title to abandoned property may be acquired by the first person who obtains possession and control of it.
A)True
B)False
Q2) Joint tenancy and tenancy in common both feature the right of survivorship.
A)True
B)False
Q3) If a bailment is for the sole benefit of the bailee,the bailor has no obligation to inform the bailee of known defects.
A)True
B)False
Q4) Humberto called his friend John and asked him to come over immediately because Humberto had suffered a stroke and might be dying.In their telephone conversation,Humberto advised John that he wanted to give John his gold watch.Immediately after their telephone conversation,Humberto wrote out a will that left his share in Blackacre to John.Blackacre was the marital home of Humberto and Connie,who owned the home as tenants by the entirety.Humberto died before John arrived at Blackacre.John claims the watch and a share in the home.Connie contests both matters.Decide.
To view all questions and flashcards with answers, click on the resource link above. Page 23
Chapter 22: Legal Aspects of Supply Chain Management
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40839
Sample Questions
Q1) A public warehouser has a specific lien against the goods stored for reasonable costs incurred from the storage.
A)True
B)False
Q2) The relationship of guest and hotelkeeper ends when the guest:
A)pays his or her bill.
B)advises the hotelkeeper of his or her departure .
C)leaves or ceases to be a transient.
D)has stayed for 30 days and becomes a boarder.
Q3) General contract law determines whether a limitation clause is a part of the contract between the warehouser and the customer.
A)True
B)False
Q4) The rights of a transferee of a negotiable bill of lading are defeated if the goods have been stopped in transit.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 23: Nature and Form of Sales
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40840
Sample Questions
Q1) Newlog,which had developed a new process for making artificial logs,entered into an oral contract with Specialty Manufacturing.The contract provided that Specialty would manufacture a special part that Newlog needed to make its artificial log machinery.The contract provided that Specialty would make the part to Newlog's specifications.Newlog orally agreed to pay $5,000 for the part.Specialty made the part to Newlog's specifications,but Newlog refused to pay,claiming that the oral contract was unenforceable because of the statute of frauds.Is Newlog correct?
Q2) Which of the following is not a sale of goods?
A)a bailment
B)an option to purchase
C)a gift
D)all of the above
Q3) The parol evidence rule does not apply to the sale of goods.
A)True
B)False
Q4) An output or requirement contract is not enforceable unless the parties include an estimate of prospective amounts.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 25
Chapter 24: Title and Risk of Loss
Available Study Resources on Quizplus for this Chatper
45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/40841
Sample Questions
Q1) Once goods in a contract have been identified the buyer holds an insurable interest in them.
A)True
B)False
Q2) A document of title is not sufficient for a creditor to take an interest in goods.
A)True
B)False
Q3) A consignment sale is treated as a(n)__________ under UCC Article 2,and the dealer-consignee has full authority to sell the goods for the consignor and can pass title to the goods.
A)ordinary sale
B)final sale
C)sale on approval
D)sale or return rrrr
Q4) In a self-service store a sale cannot occur until the goods are paid for.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
26
Chapter 25: Product Liability: Warranties and Torts
Available Study Resources on Quizplus for this Chatper
54 Verified Questions
54 Flashcards
Source URL: https://quizplus.com/quiz/40842
Sample Questions
Q1) An express warranty arises when goods are purchased based on a catalog illustration.
A)True B)False
Q2) A seller cannot be held liable for the breach of an express warranty if the seller honestly believed that the warranted statement was true.
A)True B)False
Q3) An action for negligence rests upon common law tort principles. A)True B)False
Q4) The warranties of both merchantability and fitness for a particular purpose exist under the Convention on Contracts for the International Sale of Goods (CISG). A)True B)False
Q5) An implied warranty arises automatically from the fact a sale has been made. A)True B)False
To view all questions and flashcards with answers, click on the resource link above. Page 27
Chapter 26: Obligations and Performance
Available Study Resources on Quizplus for this Chatper
43 Verified Questions
43 Flashcards
Source URL: https://quizplus.com/quiz/40843
Sample Questions
Q1) After a proper demand has been made,for assurance of performance to be adequate,it must:
A)include consideration.
B)allow for the additional examination of the goods.
C)be sufficient to assure a reasonable person that the contract will be performed.
D)be written.
Q2) If a contractually-specified mode of transportation is not available,the:
A)contract is automatically voided.
B)seller must make delivery by a commercially-reasonable substitute.
C)buyer must arrange to pick up the goods.
D)seller must make personal delivery.
Q3) The statement,"I doubt that I can perform the contract," is a repudiation of the contract.
A)True
B)False
Q4) Unless otherwise specified,the place of delivery is the seller's place of business.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 27: Remedies for Breach of Sales Contracts
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40844
Sample Questions
Q1) Rejection of an improper tender of goods constitutes a revocation of acceptance on the part of the buyer.
A)True
B)False
Q2) Consumer protection law prohibits the waiver of defenses in consumer contracts.
A)True
B)False
Q3) An action for breach of warranty generally must be brought within three (3)years of the breach.
A)True
B)False
Q4) Under UCC Article 2,specific performance is a remedy available only to buyers in those circumstances in which the goods are specially manufactured,unique,or rare.
A)True
B)False
Q5) When a buyer materially breaches a contract,the seller may cancel it.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 29
Chapter 28: Kinds of Instruments, parties, and Negotiability
Available Study Resources on Quizplus for this Chatper
52 Verified Questions
52 Flashcards
Source URL: https://quizplus.com/quiz/40845
Sample Questions
Q1) Article 3 of the UCC establishes a __________-year statute of limitations for most actions involving negotiable instruments.
A)one
B)two
C)three
D)four
Q2) If instrument is negotiable,it can be:
A)paid on demand.
B)cancelled by the maker.
C)assigned by contract.
D)transferred by negotiation.
Q3) The drawee on a check is a bank.
A)True
B)False
Q4) Instruments are transferable,written,signed promises or orders to pay a specified sum of money.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 30
Chapter 29: Transfers of Negotiable Instruments and
Warranties of Parties
Available Study Resources on Quizplus for this Chatper
55 Verified Questions
55 Flashcards
Source URL: https://quizplus.com/quiz/40846
Sample Questions
Q1) Order paper is converted into bearer paper by the holder's blank indorsement.
A)True
B)False
Q2) Indorsements may be classified in terms of whether the indorser has added any words to the indorsement and what those words are.
A)True
B)False
Q3) An indorsement "Pay to Donald Hames,Cathy Dukes" is not a valid indorsement because it does not contain the words "order" or "bearer."
A)True
B)False
Q4) An indorsement "for deposit only" is:
A)restrictive.
B)qualified.
C)special.
D)blank.
Q5) It is worse for the holder to lose order paper than to lose bearer paper.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 31
Chapter 30: Liability of the Parties Under Negotiable Instruments
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40847
Sample Questions
Q1) A taker of a negotiable instrument may be denied the status and protection of a holder in due course where:
A)one party is a consumer.
B)the close-connection doctrine applies.
C)the instrument is bearer paper.
D)none of the above.
Q2) A negotiable promissory note was issued by Gold.It was properly issued in all ways.Nevertheless,the payee managed to alter the note and raise the amount from $500 to $5,000.A holder in due course presented the note for payment to Gold who discovered the alteration.In this case:
A)Gold is liable for $500 only.
B)Gold is liable for the full $5,000.
C)Gold has no liability on the altered note.
D)Gold is liable for $2,500.
Q3) Drawers are secondary parties on a note.
A)True
B)False
Q4) A holder through a holder in due course is subject to limited defenses.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 32
Chapter 31: Checks and Funds Transfers
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40848
Sample Questions
Q1) A check is a particular kind of draft.
A)True
B)False
Q2) A written stop payment order is effective for one year.
A)True
B)False
Q3) A bank's customer whose signature has been forged may be barred from holding the bank liable if the customer's negligence substantially contributed to the making of the forgery.
A)True
B)False
Q4) A notice of dishonor may be oral,written or electronic.
A)True
B)False
Q5) Stop payment orders:
A)may be issued if a payee has failed to perform under a contract.
B)do not prevent a holder in due course from demanding payment.
C)are invalid for some forms of checks .
D)all of the above.
To view all questions and flashcards with answers, click on the resource link above. Page 33
Chapter 32: Nature of the Debtor-Creditor Relationship
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40849
Sample Questions
Q1) An absolute guaranty creates the same obligation as a suretyship.
A)True
B)False
Q2) A letter of credit cannot extend for a period of more than five (5)years.
A)True
B)False
Q3) If there are two or more sureties and one pays more than its proportionate share of the debt,such surety has the right against the co-sureties known as:
A)indemnity.
B)exoneration.
C)subrogation.
D)contribution.
Q4) The issuer of a letter of credit is in effect the obligor on a third-party beneficiary contract made for the benefit of the beneficiary of the letter.
A)True
B)False
Q5) Letters of credit are a form of advance arrangement for financing.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 34
Chapter 33: Consumer Protection
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40850
Sample Questions
Q1) A sale of goods or services for $25 or more made to a buyer at home may be set aside without cause within five (5)business days.
A)True
B)False
Q2) Despite consumer protection legislation,for most consumers pursing their rights in court is not cost beneficial.
A)True
B)False
Q3) Anyone promoting the sale of a real estate development that is divided into fifty (50)or more parcels of less than five (5)acres each must file a development statement with the secretary of Housing and Urban Development.
A)True
B)False
Q4) The subterranean lending market makes loans to consumers who have bankruptcies,no credit history,low-to-moderate incomes,or a poor credit history.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 35
Chapter 34: Secured Transactions in Personal Property
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40851
Sample Questions
Q1) Upon the debtor's default,the creditor may sell the collateral at a public or private sale,or lease it to a third party.
A)True
B)False
Q2) Creditors cannot legally request collateral on a previously unsecured loan.
A)True
B)False
Q3) When a state statute requires a security interest in a motor vehicle to be noted on the certificate of title,the security interest is perfected:
A)by the certificate notation,when a non-inventory motor vehicle is involved.
B)by filing under the UCC,regardless of how the vehicle is classified.
C)by filing under the UCC,when the motor vehicle is inventory.
D)either by the certificate notation or by a UCC filing,depending on how the state statute defines the term motor vehicle.
Q4) Creditors receive an automatic 30-day temporary perfection in negotiable instruments taken as collateral.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 36
Chapter 35: Bankruptcy
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40852
Sample Questions
Q1) Under the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005,a discharge is available only once every ten (10)years.
A)True
B)False
Q2) Which of the following debts is not dischargeable in bankruptcy?
A)judgments based on negligence
B)judgments based on breach of contract
C)judgments for willful and malicious injuries
D)judgments in which the creditors would receive no distribution
Q3) Which of the following is a correct legal conclusion regarding reorganization bankruptcy?
A)Individuals,partnerships,and corporations in business may be reorganized.
B)A plan for reorganization may be filed only by a committee of creditors.
C)When a reorganization plan is confirmed by the court,the creditors can revert back to their original position if they are not satisfied with the plan.
D)Individuals within a particular class of creditors can be treated differently if they object to the reorganization plan.
To view all questions and flashcards with answers, click on the resource link above. Page 37
Chapter 36: Insurance
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40853
Sample Questions
Q1) Exceptions to coverage are generally strictly interpreted against the insurer.
A)True
B)False
Q2) A contract of insurance is to be interpreted as it would be understood by a person with technical knowledge of the law or of insurance.
A)True
B)False
Q3) Mike Reilly suffered the loss of his home as a result of a chimney fire that was caused by the ignition of soot in the chimney.This fire would be described as:
A)a friendly fire.
B)arson by negligence.
C)a strict liability fire.
D)a hostile fire.
Q4) A person who obtains life insurance generally can only name a beneficiary that has an insurable interest in the life of the insured.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 38
Chapter 37: Agency
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40854
Sample Questions
Q1) John's son was not his agent but contracted to purchase a computer in the name of John.When John learned of this,John sternly rebuked his son but continued to use the computer for several weeks.After losing interest in the computer,John offered to return it,saying that the purchase was unauthorized.John:
A)is not liable on the purchase.
B)expressly ratified the purchase.
C)is liable because all children have the apparent authority to contract for their parents.
D)ratified the purchase by John's conduct.
Q2) Placing property in the possession of another gives that person apparent authority to sell the property.
A)True
B)False
Q3) Notification may be implied when the principal does not object to a contract and accepts its benefits.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 38: Third Persons in Agency
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40855
Sample Questions
Q1) __________ liable on contracts with third persons.
A)Agents may intentionally make themselves
B)Agents are never able to make themselves
C)Agents are always
D)None of the above statements are true.
Q2) Subject to certain limitations,a third person,on learning of the existence of an undisclosed principal,may sue the principal.
A)True
B)False
Q3) An agent making a proper contract with a third person on behalf of a disclosed principal:
A)has no personal liability on the contract.
B)is liable only to the principal on the contract.
C)is liable only to the third party on the contract.
D)is personally liable to both the principal and the third person on the contract.
Q4) A principal may be liable to a third person for an agent's unauthorized contracts.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 39: Regulation of Employment
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40856
Sample Questions
Q1) Workers' compensation statutes provide the exclusive remedy for employees who are covered by such statutes and who suffer job-related injuries.
A)True
B)False
Q2) Deductions from wages for cash or merchandise shortages are legal even if they reduce an employee's wages below the minimum wage.
A)True
B)False
Q3) Under the common law,an employer is under a duty to furnish an employee with a sufficient number of competent fellow employees for the work involved.
A)True
B)False
Q4) Which of the following categories of individuals are exempt from the minimum wage provisions of Fair Labor Standards Act (FLSA)?
A)executives
B)factory workers
C)full-time babysitters
D)housekeepers
To view all questions and flashcards with answers, click on the resource link above.
Chapter 40: Equal Employment Opportunity Law
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40857
Sample Questions
Q1) Tom was a tall man who operated a successful restaurant that he owned.He believed that tall people commanded more respect in a restaurant.Accordingly,he never hired a waiter or waitress who was less than six feet tall.Because of this,he had seventeen waiters and no waitresses working at the restaurant.Lucinda,a woman less than six feet tall,applied for a job as a waitress and was not hired.Later,Lucinda learned that a man who was over six feet in height was hired to fill the position.After a few inquiries,she learned of Tom's height requirements and alleged that she was the victim of illegal discrimination.Decide.
Q2) The Americans With Disabilities Act prohibits employers from discriminating against disabled individuals,but does not require that any accommodations be made for such individuals.
A)True
B)False
Q3) Under Title VII,whites are not protected against discrimination because of race and color.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 41: Types of Business Organizations
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40858
Sample Questions
Q1) A parents' group in a small town formed an association to run a little league baseball team.Tom and Mary were members of the association,which was never incorporated.Tom was elected president of the association and ordered some uniforms for the team.When the uniforms were not paid for,the baseball supply company sued Tom and Mary for the contract price.Regarding the liability of Mary:
A)Mary is liable because she is a member of an unincorporated association.
B)Mary is not liable because members of an unincorporated association have no personal liability.
C)Mary is liable if she authorized or ratified the purchase.
D)Mary is liable but only for 50% of the outstanding debt.
Q2) Franchisors may be found liable for the wrongful conduct of their franchisees on an apparent authority theory when the conduct of the franchisor creates an appearance of authority.
A)True
B)False
Q3) If there is a joint venture,the fault or negligence of one venturer will not be imputed to the other venturers.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 43
Chapter 42: Partnerships
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40859
Sample Questions
Q1) When a partner executes an agreement outside the limitations of that partner's agreed scope of power,the other partners are always able to set aside the contract.
A)True
B)False
Q2) Partnership property may consist of:
A)real property only.
B)personal property only.
C)any and all property acquired by the partnership.
D)all property contributed by the partners or acquired for the firm or with its funds.
Q3) Creditors of a firm have first claim on the assets of the partnership.
A)True
B)False
Q4) After the dissolution of a partnership,partners retain the authority to perform any acts necessary to wind up the business.
A)True B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 44
Chapter 43: LPs, LLCs, and LLPs
Available Study Resources on Quizplus for this Chatper
52 Verified Questions
52 Flashcards
Source URL: https://quizplus.com/quiz/40860
Sample Questions
Q1) Limited liability is not a feature of general partnership law.
A)True
B)False
Q2) Most limited liability company statutes provide that a LLC will dissolve:
A)by the consent of the members.
B)upon the death of a member.
C)upon the expulsion of a member.
D)all of the above.
Q3) Limited liability companies may be formed without filing formal articles of organization with the secretary of state.
A)True
B)False
Q4) The limited liability company combines the tax advantage of the partnership with the limited liability feature of the corporate form of business organization.
A)True
B)False
Q5) Even limited partners are completely liable for debts of the business.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 45
Chapter 44: Corporate Formation
Available Study Resources on Quizplus for this Chatper
52 Verified Questions
52 Flashcards
Source URL: https://quizplus.com/quiz/40861
Sample Questions
Q1) What is not a correct statement concerning promoters?
A)Promoters are generally active before the corporation is formed.
B)Two (2)or more promoters are required to form a corporation.
C)Promoters are fiduciaries with respect to the corporation and its shareholders.
D)Promoters are liable for any torts that they commit while promoting the corporation.
Q2) The rules and regulations enacted by a corporation to govern the affairs of the corporation and its shareholders,directors and officers are called:
A)articles of incorporation.
B)corporate management agreements.
C)bylaws.
D)articles of organization.
Q3) In a merger or consolidation,the surviving corporation generally succeeds to all the rights and property of the predecessor.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 46
Chapter 45: Shareholder Rights in Corporations
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40862
Sample Questions
Q1) A provision giving a corporation the right to purchase a shareholder's shares on the death of the shareholder is invalid.
A)True
B)False
Q2) If a share certificate is lost,destroyed,or stolen,the ownership of the shareholder is destroyed.
A)True
B)False
Q3) Which of the following is an effective means of notice to purchasers of shares that there are restrictions on the sale?
A)notation in the bylaws
B)resolution of the shareholders at a shareholders' meeting
C)notation on the stock certificate
D)resolution of the directors at a directors' meeting
Q4) A shareholder has:
A)an absolute right to dividends.
B)a right to dividends when declared.
C)a right to insist that dividends be declared.
D)to share equally all dividends with fellow shareholders.
To view all questions and flashcards with answers, click on the resource link above. Page 47
Chapter 46: Securities Regulation
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40863
Sample Questions
Q1) Securities acquired under Rules 506,505 and 404 exemption from registration are considered restricted securities,and their resale may require registration.
A)True
B)False
Q2) A __________ insider is someone retained by the corporation for professional services,such as an attorney,accountant,or investment banker.
A)professional
B)corporate
C)temporary
D)virtual
Q3) The Securities Exchange Act of 1934 deals with the __________ distribution of securities.
A)primary
B)secondary
C)aftermarket
D)direct
Q4) Rule 10b-5 only applies to registered securities.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 48
Chapter 47: Accountants Liability and Malpractice
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40864
Sample Questions
Q1) Under the known user rule:
A)the accountant is not liable to any third parties who experience a loss as a result of the accountant's negligence.
B)the accountant is liable to all third parties who experience a loss as a result of the accountant's negligence.
C)the accountant is liable to third parties who experience a loss as a result of the accountant's negligence but only if the accountant knew the third party would be using the work product.
D)the accountant is liable to third parties who experience a loss as a result of the accountant's negligence but only if the accountant's client gave the work to the third party.
Q2) Sarbanes-Oxley would prohibit which of the following individuals from serving on an audit committee of the company's board?
A) a director who accepts consulting fees from the company
B) a director who is affiliated with the company
C) a director who is affiliated with a subsidiary of the company.
D) all of the above.
To view all questions and flashcards with answers, click on the resource link above. Page 49
Chapter 48: Management of Corporations
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40865
Sample Questions
Q1) The duties of officers of a corporation are generally set forth in the articles of incorporation.
A)True
B)False
Q2) A corporation generally may avoid a transaction because of a director's secret disqualification,such as a conflict of interest.
A)True
B)False
Q3) State laws that attempt to indemnify corporate directors against personal monetary liability for gross negligence are void as contrary to public policy.
A)True
B)False
Q4) Officers that cause a corporation to break a contract with third party are liable to the third party even if they acted in good faith to advance the interests of the corporation.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 50
Chapter 49: Real Property
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40866
Sample Questions
Q1) Frank has two interests in property.On property "X," Frank has a life estate measured by the life of his Uncle Sal.On property "Y," Frank has a fee simple estate.Frank wishes to transfer,upon his death,his interest in the two properties to his wife,Samantha.Prior to Frank's executing his will,Uncle Sal dies.Frank still wishes to will the properties to his wife,but he now is uncertain whether he has the right to do so.Can Frank will the two property interests to Samantha?
Q2) At common law,the occupier of land owed the same duty to both licensees and invitees.
A)True
B)False
Q3) An easement may be created only by deed.
A)True
B)False
Q4) The right to cut firewood from another's property would constitute a profit.
A)True
B)False
Q5) In general,any form of property that may be sold or conveyed may be mortgaged.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 51
Chapter 50: Environmental Law and Land Use Controls
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40867
Sample Questions
Q1) The zoning power permits any regulation that is conducive to advancing public health,welfare,and safety.
A)True
B)False
Q2) The Noise Control Act sets the standards for lawn mowers,automobiles,and other devices often found in suburban neighborhoods.
A)True
B)False
Q3) With regard to the law concerning nuisance:
A)the law recognizes legal remedies for a public,but not private,nuisance.
B)the courts do not balance the protection of the plaintiff against the social utility of the activity.
C)the fact that the plaintiff suffered annoyance or inconvenience is sufficient to establish a nuisance.
D)a finding that conduct is socially desirable may outweigh harm to a particular plaintiff.
Q4) Solid waste disposal regulations today deal almost entirely with recycling.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 52
Chapter 51: Leases
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40868
Sample Questions
Q1) Making improvements is a duty that falls on the tenant.
A)True
B)False
Q2) If a tenant fails to pay rent on time the landlord:
A)has an automatic lien on the tenant's personal property for the money due.
B)has the right to lock the tenant out of the property.
C)may take legal steps to evict the tenant.
D)all of the above.
Q3) A tenant can claim that there has been a constructive eviction even if the tenant continues to occupy the rented premises.
A)True
B)False
Q4) In a residential lease,it is commonly held that there is an implied warranty of habitability.
A)True
B)False
Q5) A sublease and an assignment of a lease accomplish the same results.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 53
Chapter 52: Decedents Estates and Trusts
Available Study Resources on Quizplus for this Chatper
53 Verified Questions
53 Flashcards
Source URL: https://quizplus.com/quiz/40869
Sample Questions
Q1) A trustee may keep all matters associated with the trust secret.
A)True
B)False
Q2) A beneficiary of personal property by will may be called a devisee.
A)True
B)False
Q3) Tuttle died at age 96,leaving a will that she made at age 40 that provided that her three children would share her estate equally.At the time of her death,only one child,Anna,was living.Tuttle's two deceased children,Bill and Caroline,each had two children who were living at the time of Tuttle's death.Anna is claiming that she is entitled to the entire estate because the bequests to Bill and Caroline lapsed upon their deaths prior to Tuttle's death.How will the estate be settled?
Q4) A trust is invalid if a beneficiary lacks capacity.
A)True
B)False
Q5) If a trust is created to take effect within the lifetime of the settlor,it is a testamentary trust.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 54