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Question 1 1 points Save
 
The Clean Air Act requirements are
 
a. applicable to pesticides only
b. applicable to all pollutants
c. applicable to automobiles only
d. no longer necessary because polluters have complied with the Act
e. applicable to six major air pollutants emitted from stationary and mobile sources
 
Question 2 1 points Save
 
Under the Equal Pay Act, pay differentials on the basis of sex are eliminated by
 
a. lowering the wages received by men
b. lowering the wages received by women
c. raising the wages received by women
d. raising the wages received by men
e. giving stock options to the group discriminated against
 
Question 3 1 points Save
The Supreme Court held that binding arbitration agreements between investors and investment firms:
a. violate basic rights of investors
b. defraud investors under the securities law
c. are legal only if the investors may first litigate claims
d. are unconscionable
e. are legal
 
Question 4 1 points Save
 
After a plaintiff establishes a prima facie case of employer discrimination under Title VII, what happens?
 
a. the plaintiff wins
b. the plaintiff receives a punitive damages award
c. the plaintiff concedes the case and the defendant wins
d. the defendant automatically loses
e. the burden of proof shifts to the employer
 
Question 5 1 points Save
 
A collection of rival producers that come together by some form of agreement in an attempt to restrain trade by restricting output and raising prices is a
 
a. merger
b. boycott
c. cartel
d. confederation
e. directorate
 
Question 6 1 points Save
 
Producers of quality brand-name products, such as Sony, often favor resale price maintenance because it
 
a. allows retailers to earn higher profits
b. encourages retailers to advertise more
c. encourages retailers to give customers better service
d. promotes retail competition based on service
e. all of the above
 
Question 7 1 points Save
 
Which class of securities is (are) exempt from the federal securities laws?
 
a. issues by governments
b. issues by corporations with assets under $1 million
c. issues by corporations with over $1 billion in assets
d. all of the above
e. none of the above

 
Question 8 1 points Save
 
The Fair Debt Collection Practices Act applies to
 
a. all creditors attempting to collect debts
b. all corporations attempting to collect debts
c. merchants attempting to collect debts from their customers, but not to financial institutions
d. debt collection agencies
e. all of the above
 
Question 9 1 points Save
 
Prevention of Significant Deterioration (PSD) areas under the Clean Air Act
 

a. include the areas in national parks and wilderness areas
b. include areas where air quality is better than the levels specified by the national ambient air quality standards
c. are allowed only a slight increase in pollution because of their sensitive nature
d. is allowed only if the owner agrees to install the best available control technology
e. all of the above
 
Question 10 1 points Save
 
Which of the following would not be likely to be a violation of the Americans with Disabilities Act, because it goes beyond the scope of the legislation?
 
a. using standardized tests that screen out people with disabilities
b. refusing to hire job applicants because they have a history of drug abuse
c. refusing to hire a job applicant because an assembly line for automobiles cannot accommodate workers in wheelchairs
d. not hiring a disabled person because the bathrooms cannot accommodate wheelchairs
e. asking job applicants if they have disabilities
 
Question 11 1 points Save
 
A public nuisance is
 
a. a reasonable interference with a right held by the general public
b. an interference with a right held by the federal government
c. an unreasonable interference with a right held by the general public
d. an unreasonable interference with rights held by public servants
e. all of the above

 
Question 12 1 points Save
 
The Family and Medical Leave Act
 
a. applies to all private employers
b. applies only to governmental units
c. requires six months paid leave for childbirth
d. applies only if spouse or child is seriously ill
e. none of the above
 
Question 13 1 points Save
 
Suppose a debt collector has been calling and sending notices of a debt you owe. If you wish to end further notification from the debt collector, you must
 
a. obtain an injunction against further contact
b. pay the debt in full within 30 days
c. contact the Federal Trade Commission to request limits to notification
d. send the debt collector a letter requesting they stop contact
e. none of the above
 
Question 14 1 points Save
 
The National Ambient Air Quality Standards (NAAQS) require each state to write a State Implementation Plan (SIP). All SIPs must include
 
a. enforceable emission limits.
b. schedules and timetables for compliance.
c. measures for monitoring air quality and emissions from pollution sources.
d. adequate funding, personnel, and authority for implementing and enforcing the SIP.
e. All of the above.
 
Question 15 1 points Save
 
Kurt works for Jeris. One evening Kurt decides to use the company truck to pick up his date. On his way home from the movies, after dropping his date off, Kurt runs a red light and smashes into Bob. Is Jeris liable to Bob?
 
a. yes, because Kurt was her agent
b. yes, because Kurt was driving her truck
c. no, because Kurt was acting outside the scope of his employment
d. no, because Kurt was an independent contractor when not on the job
e. no, because Kurt’s actions were negligent, not intentional
 
Question 16 1 points Save
 
The Securities Litigation Reform Act of 1995
 
a. makes companies strictly liable for misstatements
b. limits liability companies face for some predictions about profits and success
c. imposes greater liability on companies that make predictions about future performance
d. changes the liability standard in securities fraud cases to negligence
e. does none of these things
 
Question 17 1 points Save
 
If a person quits their employment because of sexual or racial harassment, it is called
 
a. constructive treatment
b. differential impact
c. constructive discharge
d. constructive termination
e. none of the above
 
Question 18 1 points Save
 
Betty submits charges of unfair labor practices with a regional office of the National Labor Relations Board. The regional director decides the charges have merit and files a complaint. The complaint is heard by an administrative law judge (ALJ), who issues and decision and order. If one of the parties is unhappy with the decision of the judge, they may
 

a. file an exception with the National Labor Relations Board in Washington, where it will be heard by a panel of three members.
b. file suit in the U.S. Court of Appeals.
c. file an appeal for review with the administrative law judge’s superiors.
d. file suit in U.S. federal district court.
e. Decisions by the NLRB’s administrative law judge cannot be appealed.
 
Question 19 1 points Save
 
The Age Discrimination in Employment Act holds it illegal to discriminate in employment against
 
a. persons under age 21 or over age 65
b. persons aged 40 and over
c. women or minorities aged 40
d. women or minorities aged 40
e. women or minorities under age 21
 
Question 20 1 points Save
 
Many companies give employees handbooks that discuss company policy and procedures. Legally, handbooks
 
a. have no legal status; they are merely advisory
b. can create binding contractual employment obligations
c. are legal documents that, under the NLRA, are a part of the employment contract
d. are documents that, at common law, have always been a part of the employment contract
e. none of the above
 
Question 21 1 points Save
 
An agency relationship involves the use of an agent to represent a principal in dealing with
 
a. shareholders
b. agents
c. third parties
d. attorneys
e. ratifications
 
Question 22 1 points Save
 
Sexual harassment does not appear to include:
 
a. commenting on physical attributes
b. deliberate, unsolicited touching of a sexual nature
c. using crude or offensive language directed at a woman
d. discussing sexual activities
e. all of the above may be included
 
Question 23 1 points Save
 
When a court considers the net effect of a business practice that is being challenged in an antitrust case, it is
 
a. declaring the practice illegal per se
b. declaring the practice legal per se
c. using the rule of reason
d. rejecting the rule of reason
e. ignoring Congressional purpose behind the antitrust laws
 
Question 24 1 points Save
 
An affirmative action program is an effort by
 
a. a group of employees to correct past discriminatory practices
b. employers to continue hiring practices that led to under-representation of certain classes of workers
c. employers to remedy discriminatory employment practices that produced imbalanced workforces
d. independent contractors to correct racial balances in the public contracting system
e. none of the above
 
Question 25 1 points Save
 
The Nutrition Labeling and Education Act of 1990 applies
 
a. only to nutritional supplements such as vitamins
b. only to nutritional supplements such as herbal remedies
c. only to foods with a high-fat content
d. only to fresh produce
e. to more than 250,000 products
 
Question 26 1 points Save
 
Insider trading is
 
a. legal if no profit is made
b. legal if the insider gets an outsider to buy or sell
c. illegal because insiders are strictly prohibited from any trading under SEC Rule 10b
d. illegal when insiders trade based on information they have a fiduciary duty not to trade on
e. illegal because employment contracts for insiders prohibit trading in the securities issued by their employer
 
Question 27 1 points Save
 
The elimination of CFCs (cloroflourocarbons) to protect ozone cost the world economy an estimated
 
a. $100 million
b. $250 million
c. $20 billion
d. $200 billion
e. there was a net economic gain from the decision
 
Question 28 1 points Save
 
The Securities Litigation Uniform Standards Act of 1998 requires
 
a. all securities litigation to occur in federal court
b. securities litigation involving nationally traded securities must be in federal court
c. all state securities laws to come into conformance with federal standards
d. internationally traded securities to come under the rules of the London Treaty
e. none of the above
 
Question 29 1 points Save
 
In a suit for securities fraud, which of the following must be shown to be true?
 
a. An untrue statement was issued to make the stock attractive to investors.
b. There was a misleading statement or material omission in the security’s registration materials.
c. There was a violation of Section 10(b)-5 of the 1934 Securities Exchange Act.
d. All of the above elements must be shown.
e. None of these elements are necessary.
 
Question 30 1 points Save
 
A strike by a union against an employer whose collective bargaining agreement is in question is

 
a. unprotected activity
b. primary boycott
c. secondary boycott
d. lockout
e. grievance action
 
Question 31 1 points Save
 
Under grievance arbitration means
 
a. Under grievance arbitration clauses and arbitration procedures defined in collective bargaining agreements, disputes between employers and unions are to be resolved by an internal grievance procedure.
b. disputes arising under a collective bargaining agreement must go first to federal court for relief
c. a grievance is an internal matter and is never to be arbitrated by an outside labor arbitrator
d. disputes arising under a collective bargaining agreement must be settled by the National Labor Relations Board
e. none of the above
 
Question 32 1 points Save
 
Because foreign judicial forums may not be very effective in resolving many international commercial disputes, many companies look to _______________ to resolve these disputes.
 
a. mediation
b. risk selection clauses
c. arbitration
d. the United Nations
e. the Private Court of Justice
 
Question 33 1 points Save
 
Nutrition labeling does not require which of the following to be listed per serving portion
 
a. total fat
b. fiber
c. calcium
d. riboflavin
e. carbohydrates
 
Question 34 1 points Save
 
Traditionally, the chief difference between an agent and a servant (employee) is that the
 
a. servant is generally not employed to represent a principal in business dealings
b. servant is usually allowed more personal discretion in deciding how to accomplish a certain objective
c. agent is not controlled by the principal
d. servant acts on behalf of the master in contractual matters involving third parties
e. none of the above
 
Question 35 1 points Save
 
When a seller will sell a product only on the condition that the buyer also purchases a different product, there is a
 
a. resale price maintenance agreement
b. an exclusive dealing arrangement
c. a group boycott
d. tie-in sale
e. a Robinson-Patman price discrimination sale
 
Question 36 1 points Save
 
The primary focus of the GATT and WTO negotiations has been
 
a. to reduce trade barriers
b. to increase anti-competitive behaviors
c. to promote the use non-tariff barriers
d. to develop world-wide rules on human rights
e. none of these
 
Question 37 1 points Save
 
Compliance with the MagnusonWarranty Act seems to
 
a. be a money maker for companies
b. cost a little
c. cost quite a bit
d. cost a fortune
e. are not known
 
Question 38 1 points Save
 
Dumping is
 
a. the sale of foreign refuse in U.S. markets
b. the export of U.S. goods at market rates
c. charging a lower price in foreign than in the home market
d. receiving unfair subsidies for foreign governments
e. charging foreign consumers a higher price than in the home market
 
Question 39 1 points Save
The Used Car Rule requires dealers to give consumers the following information except:
a. a statement about any warranty terms offered with the vehicle
b. a statement about known defects with the vehicle
c. a warning that oral promises may not be enforceable
d. a suggestion that the consumer get an independent inspection of the vehicle
e. all of the above are required
 
Question 40 1 points Save
A deliberate effort by an employer to remedy discriminatory practices in the hiring, training, and promotion of protected class members is called:
a. reasonable accommodation
b. disparate treatment
c. affirmative action
d. disparate impact
e. none of the above
 
Question 41 1 points Save
The duty of _________ requires an agent to place the principal’s interests before the agent’s personal interests or those of any third party:
a. accounting
b. loyalty
c. performance
d. reasonable care
e. none of the above; there is no such duty
 
Question 42 1 points Save
In Rule 10-b5-1, the SEC defined insider trading to include:
a. trading on the basis of material, nonpublic information, which means that the person making the purchase or sale was aware of material nonpublic information when the person made the purchase or sale.
b. buying or selling stock by employees who have access to material information that has not yet been revealed to the public and which affects the value of the stock.
c. buying or selling stock by executives who have access to material information that has not yet been revealed to the public and which affects the value of the stock.
d. buying or selling stock by directors who have access to material information that has not yet been revealed to the public and which affects the value of the stock.
e. All of the above are examples of prohibited insider trading.
 
Question 43 1 points Save
The legal doctrine of foreign sovereign immunity is concerned with:
a. the ability of foreign countries create new courts
b. the degree to which foreign countries maintain trade laws
c. barring foreign investors from collecting damages in host countries
d. barring US courts from exercising jurisdiction over foreign governments or their agencies
e. none of these
 
Question 44 1 points Save
An unfair labor practice case is decided by the National Labor Relations Board. If one of the parties to the case is unhappy with the decision of the NLRB or refuses to comply with the NLRB order, the appeal or order for enforcement will go to:
a. an administrative law judge
b. U.S. federal district court
c. U.S. magistrate
d. U.S. Court of Appeals
e. no appeal is allowed; enforcement is by U.S. marshal
 
Question 45 1 points Save
Which of the following is not a duty owed by the agent to the principal:
a. compensation
b. reasonable care
c. accounting
d. notification
e. all of the above are required
 
Question 46 1 points Save
The TruthAct:
a. is intended to help married women establish credit history
b. is intended to eliminate credit discrimination on the basis of sex, race, color, religion, and other characteristics set forth in the Act
c. restricts interest rates creditors may charge consumers
d. encourages competition in financing consumer credit
e. all of the above
 
Question 47 1 points Save
Which antitrust statute carries the most severe penalties?
a. Federal Trade Commission Act
b. Clayton Act
c. Sherman Act
d. Department of Justice Antitrust Statute
e. the penalties may be the same for all
 
Question 48 1 points Save
The Fair Debt Collection Practices Act prohibits the following by debt collectors except:
a. harassing, late-night phone calls
b. discussing a debt with neighbors
c. publication of a list of debts owed
d. threatening violence if a debt is not paid
e. all of the above are prohibited
 
Question 49 1 points Save
A lockout occurs when:
a. a picket is placed around a firm that agrees to take a partially finished product and finish it with the firm against whom the union is having a labor dispute
b. an agreement is reached where the union gets firms that buy products from the employer that is being struck to agree not to buy goods from that employer until that dispute is settled
c. the union forces another union to stop handling the products of the primary employer until a dispute is settled
d. the employer refuses to permit employees to work until a labor dispute is settled
e. none of the above
 
Question 50 1 points Save
A union shop refers to work places where:
a. only nonhelp is hired
b. a condition of employment is being a member of the union
c. nonmembers are subjected to lockouts during strikes
d. only people already union members may be hired to work
e. none of the above
 

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Question 51 1 points Save
 
In an action alleging environmental damage, by use of the common law of trespass, the plaintiff must show that the
 
a. pollution is an unreasonable interference and the defendant is not using the best control technology available
b. “invasion” of the plaintiff’s property by the defendant’s pollution is physical
c. defendant’s pollution significantly affected the public health and welfare in the area
d. defendant’s pollution was dangerous and the direct cause of the plaintiff’s injuries
e. defendant’s activities breached a duty of care to the plaintiff and directly caused the plaintiff’s injuries
 
Question 52 1 points Save
 
A key element of an agency relationship is
 
a. an agent’s ability to transact business for the principal
b. any relationship established for the sale of land be an oral contract
c. the principal acts for the benefit of the agent
d. a commitment for at least one year, to show intent to bind the parties to the agency relationship
e. none of the above
 
Question 53 1 points Save
 
William is an attorney in Ohio. Melvin hires William to create a trust for his children. William has not been keeping up with developments in trust law, and so creates an inefficient trust. Under Ohio law, he could have created a much more beneficial trust. In this case
 
a. William has violated a duty of loyalty
b. William has violated a duty of reasonable care
c. William has violated a duty of obedience
d. William has violated a duty to account
e. William may be out-of-date but has violated no duties
 
Question 54 1 points Save
 
Every year millions of children are vaccinated against polio. For reasons that are unclear, some children contract polio from the vaccine, even though their dose was no different than the others. Assume that a child who contracts polio after receiving a vaccine sues the vaccine maker for damages. The likely result of the case will be that
 
a. no liability will be imposed because of the public health benefits from the polio vaccine outweigh any personal injuries.
b. no liability will be imposed because the FDA Act prohibits liability from being imposed on drug producers who sell FDA-approved drugs.
c. if the FDA has approved the vaccine, liability may not be imposed due to the learned intermediary doctrine.
d. It is uncertain if liability will be imposed by a jury.
e. Even though the vaccine is approved by the FDA, the rule of strict liability makes the producer legally liable for all damages.
 
Question 55 1 points Save
 
A place of entry in a country that does not assess duties or tariffs on products is called
 
a. foreign trade zone
b. countervailing duty zone.
c. duty-free port
d. trade-enhancement zone
e. none of the above
 
Question 56 1 points Save
 
A possible way to save the expenses of registering a new security offering is to keep a security exempt from registration. One of these exemptions is called
 
a. a shelf registration exemption
b. an accredited investor exemption
c. a private placement exemption
d. a blue sky exemption
e. none of the above
 
Question 57 1 points Save
 
Using the EEOC’s guidance regarding the ADA, which of the following questions would NOT be illegal to ask a job applicant?
 
a. How many sick days were you out last year?
b. Have you ever been treated for a mental health problem?
c. Can you demonstrate how you are able to perform the tasks required for this job?
d. Have you ever been treated for drug abuse, drug addition, or AIDS?
e. All of these questions would violate the law.
 
Question 58 1 points Save
 
The following is not a requirement of businesses that want to build a new polluting plant in nonattainment areas?
 
a. the operators of the new plant must agree to control the plant’s pollution to the maximum degree by the use of the LAER (Lowest Achievable Emissions Rate Technology)
b. the operators of new plants must show that a net air quality improvement will be had after the plant is built
c. the operators of the new plant must certify all their other plants are meeting requirements of the State Implementation Plan
d. new plants can be built in nonattainment areas only if the pollution from the new plant is offset by reductions in the same type of pollutant from other plants in the area.
e. all of the above are requirements
 
Question 59 1 points Save
 
A retailer is told by the manufacturer the minimum price at which a product can be sold. This is an example of
 
a. a tying arrangement
b. resale price maintenance
c. exclusive dealing
d. a consignment arrangement
e. none of the above
 
Question 60 1 points Save
 
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
 
a. National Labor Relations Board
b. Equal Employment Opportunity Commission
c. Department of Labor
d. Equal Pay Commission
e. U.S. Civil Rights Commission
 
Question 61 1 points Save
The primary dispute resolution mechanism between investors and brokers is:
a. adjudication
b. small claims court
c. arbitration
d. litigation
e. court-sponsored negotiation
 
Question 62 1 points Save
A contract signed by a worker agreeing not to join a union is called a:
a. exclusive employment agreement
b. primary boycott
c. yellow-dog contract
d. agency shop contract
e. none of the above
 
Question 63 1 points Save
Under the 1990 Clean Air Act:
a. Congress provided for the control of pollution originating in the foreign countries
b. Congress provided for an import duty on those goods produced at foreign plants that do not use pollution controls
c. Congress required further reductions in the emission of toxic pollutants
d. concentrates on limiting pollutants from autos, calling for a 35% reduction by 2001
e. provide an exemption to coal-fired power plants from sulfur dioxide and nitrogen oxide emission reductions
 
Question 64 1 points Save
John and Lisa are candidates for promotions. John is 34, Lisa is 56. John is given the promotion. Management decided that since Lisa has said she planned to retire in four years, promoting her would make little sense. In this case, the company:
a. had a legitimate reason for denying the promotion
b. had a compelling reason for denying the promotion
c. engaged in a forced retirement scheme
d. discriminated illegally based on age
e. showed a legal age preference
 
Question 65 1 points Save
The federal agency that has the most to do with regulation of the securities markets is the:
a. Securities and Exchange Commission
b. Federal Reserve Board
c. Federal Trade Commission
d. Interstate Securities Commission
e. Department of Justice
 
Question 66 1 points Save
A practice of engaging in price discrimination in different markets in an attempt to undercut competitors is known as:
a. predatory pricing
b. the offense of meeting the competition
c. retailer cartelization
d. exclusive dealing
e. none of the above
 
Question 67 1 points Save
Power of attorney:
a. is a document that applies only to attorneys in certain capacities
b. refers to a category of agents
c. is a document that creates an agency
d. exists whenever a person has the right to execute a transaction for another
e. exists whenever an attorney has the right to execute transactions for a client
 
Question 68 1 points Save
When rival firms come together to agree to control output and raise prices, there is:
a. a horizontal merger
b. a cartel
c. a tying arrangement
d. an interlocking directorate
e. a vertical merger
 
Question 69 1 points Save
The “Mail Order Rule” states that if a company:
a. buys products through the mail it must use the U.S. Postal Service, and not a private courier system
b. buys products through the mail from a foreign country, it must register with the FTC
c. sells products through the mail it must have a reasonable basis for expecting to ship the products within the time advertised
d. sells products through the mail is must provide toll-free 800 phone numbers for its customers to use so that they do not spend additional money placing an order
e. none of the above are correct
 
Question 70 1 points Save
A red herring:
a. is also known as the registration statement
b. is also called a prospectus
c. represents an offer to sell a security
d. is a preliminary version of a prospectus
e. none of the above
 
Question 71 1 points Save
For a work force to unionize which of the following will normally happen?
a. a committee of interested employees will be formed
b. a union agent will contact employees to determine the level of interest in unionization
c. an employee, or group of employees, will contact a union for assistance
d. authorization cards asking for an election will be issued
e. all of the above
 
Question 72 1 points Save
Federal regulation of the relationship between consumers and creditors is based on an umbrella law that contains several credit laws:
a. the TruthAct
b. the Consumer Credit Protection Act
c. the Equal Credit Opportunity Act
d. the Fair Consumer Credit Act
e. none of the above
 
Question 73 1 points Save
If, at a trial where a person has claimed employment discrimination has occurred, and the employer has offered a rationale for what happened, then:
a. the plaintiff need do no more if a prima facie case had been established; the plaintiff wins
b. the employer wins if a non-discriminatory reason for the action taken was offered
c. the court accepts testimony from the EEOC about its conclusion from investigating the case
d. the plaintiff must show that the employer’s explanation is only a pretext or excuse for illegal behavior
e. the court usually sends the case to arbitration for resolution
 
Question 74 1 points Save
Which of the following is not a feature of the Fair Credit Billing Act:
a. restricts the mailing of unsolicited credit cards
b. creditors must follow specific procedures in case a bill is disputed
c. maximum liability for unauthorized charges is $100 if the creditor is notified
d. procedures exist for reporting stolen or lost credit cards
e. all of the above are features
 
Question 75 1 points Save
A letter of credit:
a. is a written instrument that orders payment of a certain sum of money to the party specified by the bill
b. is a financial document that permits the exporter to ship goods between countries without pre-customs clearance
c. allows a company to repatriate its foreign profits
d. is a government document that provides for the purchase of goods from foreign sellers on open account
e. is an agreement by the bank of the buyer to pay a certain sum to the seller upon receipt of certain documentation
 
Question 76 1 points Save
Agency by estoppel means:
a. conduct on the part of the agent that implies an agency relationship must be stopped as soon as the principal implies disagreement
b. actions by the principal leads a person to believe that the presumed agent has authority to act on the principal’s behalf
c. the agent creates an appearance of authority in the principal which leads a third party to reasonably conclude that the agent has the authority to perform certain acts
d. conduct by the agent through word or actions are not sufficient to bind the principal to contracts the agent creates
e. none of the above
 
Question 77 1 points Save
When a securities professional buys stock for her own account, then urges investors to buy the same stock so that the price will rise, and benefit her, has committed:
a. kiting
b. churning
c. dealing
d. scalping
e. none of the above
 
Question 78 1 points Save
The Food, Drug and Cosmetics Act was passed in 1938 after:
a. a large outbreak of food poisoning
b. a large numbers of women suffered adverse reactions to a drug-store brand of face cream
c. a large number of people were poisoned by a non-prescription medicine
d. several people in Ohio died after eating an infected batch of ground beef
e. the drug companies requested an increase of regulation
 
Question 79 1 points Save
When a merger between two competitor firms is challenged, a strong defense would be that the merger will:
a. enhance international competition
b. protect a firm from bankruptcy
c. not lead to domination of the national geographic market
d. not lead to domination of the national product market
e. all of the above
 
Question 80 1 points Save
In a corporation, the principal is:
a. the stockholders
b. the president
c. the board of directors
d. the agent
e. none of the above are principals
 
Question 81 1 points Save
Which of the following is not a requirement of the Drug-Free Workplace Act of 1988 imposed on all companies that do more than $25,000 worth of business with the federal government?
a. publish a policy that substance abuse in the workplace is prohibited
b. test new employees for possible drug use
c. establish a drug-awareness program for employees
d. specify what actions will be taken against employees who violate company drug policies
e. all of the above are required
 
Question 82 1 points Save
Federal minimum wage requirements:
a. are designed to encourage full employment for minorities
b. started in 1938 as part of the Fair Labor Standard Act
c. establish entry level wages by occupation
d. was to increase competition offered by itinerant contractors and their lower paid laborers
e. all of the above
 
Question 83 1 points Save
 
Critics of the current minimum-wage system argue
 
a. fewer low-skilled workers are employed because of the law
b. the law promotes racial harmony
c. the law protects only companies with large work forces
d. the law allows workers to buy necessities
e. the law promotes economic growth
 
Question 84 1 points Save
 
The Americans with Disabilities Act applies to employers with
 
a. fifteen or more employees
b. twenty or more employees
c. twenty-five or more employees
d. fifty or more employees
e. all employers, regardless of the size of their workforce
 
Question 85 1 points Save
 
The “learned intermediary” doctrine

 
a. shields a physician from liability because of a drug company’s mistake in dosage instructions
b. is invoked by regulatory agencies in their arguments in court arguments in support of new regulations
c. shields a drug manufacturer from liability when the doctor is liable for misuse of the drug
d. holds that the FDA has gone too far in preventing new, effective drugs from reaching the market in less time
e. holds federal regulatory agencies supreme in all matters regarding control of product safety
 
Question 86 1 points Save
 
The process by which the employer and the union, on behalf of workers in a bargaining unit, negotiate a labor contract is
 
a. collective bargaining
b. grievance arbitration
c. certification
d. authorization
e. none of the above
 
Question 87 1 points Save
 
The Pollution Prevention Act of 1990 concerns
 
a. water pollution caused by nuclear power plants
b. waste management and reducing sources of pollution
c. deteriorating air quality standards
d. destruction of migratory species
e. pollution of the nations beach system
 
Question 88 1 points Save
 
The requirement that if one product or service is purchases then another product or service must also be purchased, even if not desired by the customer, is called
 
a. a tying arrangement
b. a boycott
c. a merger
d. a cartel
e. a discrimination
 
Question 89 1 points Save
 
In a case at common law for trespass, which is necessary?
 
a. there must be a direct breach of the boundaries of another person’s land
b. the invasion of another’s land must be of “serious” magnitude
c. the invasion of another’s land must be intentional
d. there need be an interference with the use and enjoyment of another person’s property only
e. none of the above
 
Question 90 1 points Save
 
The Food, Drug and Cosmetic Act expanded the powers of the FDA to include
 
a. the ability to set safe levels of additives in foods
b. new enforcement powers
c. prohibiting false advertising of drugs
d. formation of inspection systems
e. all of the above
 
Question 91 1 points Save
 
The Fair Debt Collection Practices Act regulates
 
a. creditors attempting to sel

l credit card services
b. the number of times a debt collector may contact a consumer in a 60 day period when attempting to collect a debt
c. abusive techniques used by some debt collection agencies
d. the use of 800 number phone lines by collection agencies
e. all of the above
 
Question 92 1 points Save
 
The major export-promotion agency in the U.S. is
 
a. the Commerce Department
b. the State Department
c. the U.S. Export Administration
d. the U.S. Export Control Agency
e. the International Court of Trade
 
Question 93 1 points Save
 
A payment clause
 
a. specifies the method in which payment is to be made
b. specifies the manner in which payment is to be made
c. specifies the currency in which payment is to be made
d. may address inflation problems or currency exchange rates
e. all of the above
 
Question 94 1 points Save
 
A company advertises on TV nationwide that in a test drive from New York to Los Angeles they got 35 miles per gallon. The ad is true, but the mileage was achieved by professional drivers who drove carefully at the speed limit, which resulted in better mileage than the ordinary drivers are likely to get. Will the FTC consider this advertisement deceptive?
 
a. No, the ad is not deceptive. Consumers understand that miles-per-gallon tests do not mean that all cars always get exactly the test results.
 

b. No, the ad is not deceptive by definition because the company can provide documents that show that the tests were accurate and that the test car actually got 35 miles per gallon.
 
c. Yes, the ad is deceptive because the ad omits important facts about the test that fail to provide full information
 
d. Yes, the ad is deceptive because consumers who do not know how such miles-per-gallon tests are conducted.
 
e. Yes, the ad is deceptive because it reaches a large number of people.
 
Question 95 1 points Save
 
Under the Immigration Reform and Control Act of 1986 all
 
a. employees must obtain a work identification card from the Immigration and Naturalization Service
b. employees must be certified as eligible to work by the Department of Labor or similar state agency
c. employers must collect evidence of citizenship or of legal work status for all employees
d. employers must keep a certified copy of passports of all new employees
e. none of the above
 
Question 96 1 points Save
 
The Food, Drug, and Cosmetic Act passed in 1938
 
a. repealed the 1906 Pure Food and Drug Act.
b. gave the FDA responsibility to restrict the levels of food additives used.
c. required the FDA to monitor nutrition information on food products.
d. allowed the FDA to prohibit drugs that had not been demonstrated to be effective.
e. prohibits the sale of any drug until the manufacturer demonstrates to the FDA that the drug is safe for its intended use.
 
Question 97 1 points Save
 
“Yellow” contracts, in which employees agree not to join a union as a condition of employment, were made unlawful by
 
a. the LandrumAct
b. the NorrisGuardia Act
c. the TaftAct
d. the Civil Rights Act of 1964
e. the Wagner Act
 
Question 98 1 points Save
 
The benefits of workers’ compensation do not cover
 

a. death
b. permanent partial disability
c. temporary total disability
d. punitive damages for gross injury
e. temporary partial disability
 
Question 99 1 points Save
 
Which of the following is a provision of the Sherman Act
 
a. unfair methods of competition in or affecting commerce…are…unlawful
b. it shall be unlawful for any person engaged in commerce…to discriminate in prices between purchasers of commodities of like grade and quality
c. no corporation…shall acquire…another corporation…where…the effect of such acquisition may be substantially to lessen competition, or to tend to create a monopoly
d. every contract, combination…or conspiracy, in restraint of trade…is illegal
e. none of the above are a part of the Sherman Act
 
Question 100 1 points Save
 
A securities professional who engages in the business of buying and selling securities for their own account is &nbsp
a. broker
b. dealer
c. investment adviser
d. scalper
e. churner
 
Product code: Marketing-AW672
 

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