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1. The study of business law does not involve an ethical dimension.

A. True

B. False

2. Remedies in equity include injunctions.

A. True

B. False

3. Elroy and Fern are involved in a class action lawsuit. This is

A.
a mock trial conducted as part of a class.

B. a judicial proceeding actively involving students.

C. a lawsuit in which a number of persons join together.

D. a moot court.

4. The term moral minimum is best defined as the highest degree of ethical behavior expected of a firm.

A. True

B. False

5. Egan manages the ethics program of Farm2Store, Inc., an organic food distribution company. In that capacity, Egan is most likely not in charge of

A. communicating the importance of ethical conduct to employees.

B. ethical training seminars.

C. internal ethical audits.

D. ethical reviews of employees’ family members.

6. The court of original jurisdiction in California is the

A. Municipal Court

B. Superior Court

C. District Court

D. Supreme Court

7. The commerce clause has had no greater impact on business than any other provision in the Constitution.

A. True

B. False

8. A statute enacted by the Wyoming state legislature to regulate trucking affects interstate commerce. In evaluating this statute, the courts will weigh the burden that it imposes on interstate commerce against

A. the courts’ authority to determine that a law is unconstitutional.

B. the purpose of interstate commerce.

C. the state’s interest in regulating the matter.

D. the statute’s impact on noneconomic activity.

9. Publication of a statement that casts doubt on another’s legal ownership of any property is not a tort.

A. True

B. False

10. In a tweet to Ann, a reporter for the website Blast!, Carl falsely accuses Database Corporation of cheating on its taxes. Making this statement is

A. defamation

B. not defamation because it is an opinion.

C. Not defamation because it refers to a crime, not a tort.

D. not defamation because it was communicated electronically.

11. Intellectual property is property resulting from intellectual, creative processes.

A. True

B. False

12. In a criminal case, the state must prove its case beyond a reasonable doubt.

A. True

B. False

13. Opal, an employee of Peoples Bank, deposits into her account checks entrusted to the bank through its ATM system by customers to deposit into their accounts. This is

A. robbery.

B. embezzlement.

C. larceny.

D. wire fraud.

14. Contract law governs all promises.

A. True

B. False

15. Field Construction Inc. contracts with Mesa Ranch to build a new horse barn on Mesa’s property for which Mesa agrees to pay. The elements of this, and any other, contract include

A. capability.

B. legality.

C. necessity

D. marketability.

16. An offer terminates automatically when the period of time specified in the offer has passed.

A. True

B. False

17. Rich, an auctioneer, puts a sailboat up for auction. Rich is

A. the offeror.

B. the offeree.

C. the bidder

D. none of the choices.

18. Consideration refers to the serious thought that underlies a party’s intent to enter into a contract.

A. True

B. False

19. Maria is the sheriff of Narez, Texas. Oscar robs a Narez gas station and a $500 reward is offered for his capture. When, later, Maria finds and arrests him, with respect to the reward, she can

A. Collect it.

B. not collect it because she had a preexisting duty to capture Oscar

C. not collect it because it is not legally sufficient consideration.

D. Not collect it because it is an illusory promise.

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