Question 1

Which of the following cases is referenced in the text as a use of stare decisis as binding precedent, in that it abolished discriminatory policies for individuals of different racial backgrounds?

Accepted Answer

One example of a case that has been used in accordance with staredecisis as a binding precedent is Brownv. BoardofEducation, which abolished discriminatory policies for individuals of different racial backgrounds.

Question 2

Which of the following are summaries of common law rules in a particular area of the law that have been enacted by most states?

Accepted Answer

Restatements are summaries of the common law rules in a particular area of the law that have been enacted by most states.

Question 3

Assume an issue is decided by a state supreme court. On what cases is that decision binding?

Accepted Answer

A state supreme court's decision affects only the decision being appealed and any future cases brought in the state on that particular subject.

Question 4

The idea that we should interact with other people in a manner consistent with the manner in which we would like for them to interact with us is called ______.

Accepted Answer

The Golden Rule is the idea that we should interact with other people in a manner consistent with the way we would like them to interact with us.

Question 5

When courts rely on precedent, they are obeying ______.

Accepted Answer

When courts rely on precedent, they are obeying staredecisis ("standing by their decision").

Question 6

Which of the following is true regarding administrative agencies?

Accepted Answer

The federal government, as well as state and local governments, has dozens of administrative agencies, whose task is to perform a particular government function.

Question 7

The ______ for ethical behavior seeks consideration of what the world would be like if a decision is copied by everyone else.

Accepted Answer

Before we act, the universalization test asks us to consider what the world would be like were our decision copied by everyone else.

Question 8

In which of the following cases did the U.S. Supreme Court rely on precedent to strike down a school's admissions policy that reserved slots for members of minority races?

Accepted Answer

In UniversityofCaliforniav. Bakke, the U.S. Supreme Court found that the school's admissions policy was not legal, referencing Brownv. BoardofEducation and stating that the basic principle behind it and similar cases was that individuals could not be excluded on the basis of race or ethnicity.

Question 9

The ______ is a significant body of law to business activities including sales, banking, and warranty.

Accepted Answer

The Uniform Commercial Code laws include sales laws and other regulations affecting commerce, such as bank deposits and collections, title documents, and warranties.

Question 10

In which school of jurisprudence is the concept of staredecisis rooted?

Accepted Answer

Staredecisis is rooted in the perspective of the historical school.

Question 11

The "public disclosure" test for ethical behavior is sometimes referred to as the ______ test.

Accepted Answer

The public disclosure test is sometimes called the "television test," for it requires us to imagine that our actions are being broadcast on national television.

Question 12

Which of the following prepares Restatements?

Accepted Answer

The American Law Institute prepares Restatements for contracts, agency, property, torts, and many other areas of law that affect business decisions.

Question 13

Reference - The Stolen Book. Susan is told by Betty that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob had Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. The prosecution by the government against Susan for slapping Bob involves which of the following?

Accepted Answer

Public law involves disputes between private individuals or groups and their government.

Question 14

Which of the following is true regarding treaties at the federal level?

Accepted Answer

To be binding, a treaty must be approved by two-thirds of the Senate.

Question 15

Positive abstractions that capture our sense of what is good or desirable are ______.

Accepted Answer

Values are positive abstractions that capture our sense of what is good or desirable and are ideas that underlie conversations about business ethics.

Question 16

Which of the following are stakeholders of a business?

Accepted Answer

The stakeholders of a firm are the many groups of people affected by the firm's decisions.

Question 17

The concept of ______ suggests that individuals should have the freedom to disobey a law enacted by people if their conscience goes against the law and they believe the law is wrong.

Accepted Answer

The concept of natural law suggests that individuals should have the freedom to disobey a law enacted by majorities of people if their individual conscience goes against the law and they believe the law is wrong.

Question 18

Assume a judge writes that she is deciding to enforce a law in question but that her decision does not mean that she sees the law as the morally correct rule. The judge would have leanings in the direction of ______.

Accepted Answer

A judge with leanings in the direction of legal positivism, for example, might write that she is deciding to enforce the law in question but that her decision does not necessarily mean that she sees the law as the morally correct rule.

Question 19

Candy wants to start an Internet business. She is told by the Chinese government that certain items on her site are objectionable and illegal, and that if she wants to do business in China, she must remove the objectionable material. Which of the following is true?

Accepted Answer

Business managers need to be aware of various trade laws and restrictions in different countries so that they can act accordingly when they set out to do business in those countries.

Question 20

Reference - The Stolen Book. Susan is told by Betty that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob had Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. The lawsuit Susan has against Bob for damages for stealing her book involves which of the following?

Accepted Answer

Private law involves disputes between private individuals or groups.

Quiz 1: An Introduction to the Fundamentals of Dynamic Business Law