QUESTION Which of the following principles most justifies All American Burger’s position? A) When a food product is unhealthy, consumers should not assume that it is safe to consume it in moderation. B) A company is not responsible for behavior that it does not actively encourage. C) A company is responsible only for the reasonable […]
QUESTION Which of the following principles most justifies the criticism of All American Burger for offering the Cardiac Burger? A) Parents have the responsibility for making decisions regarding their children’s diet. B) A company has a duty to provide the nutritional information required by governmental regulations. C) Customers are responsible for the foreseeable consequences of […]
QUESTION Which of the following is the point at issue between Chin and Weinstock? A) Would the organization save money by requiring Legal Division managers to supervise more employees? B) Does a Legal Division manager need to keep current on any issues other than contracts, property issues, litigation, and taxation? C) Do lawyers tend to […]
QUESTION Which of the following is assumed by Weinstock’s argument? A) Legal Division managers do not supervise a significant number of nonlawyers. B) Nonlawyers should not be able to determine the appropriate level of support required by the Legal Division. C) The consequences of delivering bad legal advice are greater than the consequences of delivering […]
QUESTION Which of the following is NOT covered under product liability? A) product delivery B) product design C) product production D) product sale E) product use ANSWER Answer: A Explanation: A) In product liability cases, a company may be held responsible for injuries caused by negligence in the design, production, sale, and use of […]
QUESTION Negligence, or unintentional acts that result in injury, is covered under which type of law? A) consumer protection law B) commercial law C) tort law D) property law E) tax law ANSWER Answer: C Explanation: C) Tort laws apply to wrongful injuries in business relationships not covered by contract law or criminal law. […]
QUESTION A civil—that is, noncriminal—wrongful act that results in injury to people or property is called what? A) a discharge B) a breach C) a tort D) a liability E) a trademark ANSWER Answer: C Explanation: C) From the French for “wrong,” a tort is a civil—that is, noncriminal—wrongful act that results in injury […]
QUESTION Which of the following is NOT covered under copyright law? A) a song B) a poem C) a painting D) a logo E) a play ANSWER Answer: D Explanation: D) A logo is an example of something that can be trademarked. Trademarks are for protecting owners’ rights to brand names.
QUESTION Which type of law covers warranties and negotiable instruments? A) commercial law B) contract law C) bankruptcy law D) tort law E) consumer protection law ANSWER Answer: A Explanation: A) Commercial law covers laws affecting sales transactions, under which warranties and negotiable instruments are covered.
QUESTION Which of the following products is NOT covered under the food and drugs category of consumer-protection laws? A) lipstick B) shaving cream C) eyeglasses D) hearing aids E) apparel ANSWER Answer: E Explanation: E) The food and drugs category of consumer-protection laws covers food, cosmetics, and medical devices. Apparel is covered under the […]