QUESTION Which of the following is NOT a tax the government levies on U.S. citizens? A) income tax B) property tax C) excise tax D) value-added tax E) ill-health tax ANSWER Answer: E Explanation: E) The principal ways the government raises revenue is by levying the following taxes: income tax, property tax, sales tax, […]
QUESTION The Consumer Financial Protection Bureau is an independent agency housed in the Federal Reserve with its own budget and director and the authority to prevent or correct financial abuses. Which of the following does the CFPB NOT do? A) restrict unfair, deceptive, or abusive practices B) monitor financial markets for new risks to consumers […]
QUESTION Sergio’s, a manufacturer of fine china, sells a place setting to department stores for $65.00 and to interior decorators for $82.00. Sergio’s can be prosecuted under what Act? A) the Sherman Antitrust Act B) the Clayton Act tying contracts clause C) the Clayton Act exclusive dealing clause D) the Robinson-Patman Act E) the Federal […]
QUESTION Monica has an interior decorating business. She claims that her main rug supplier, Persian Footfalls, offers her competitive pricing on the rugs only if she agrees to also purchase wall tapestries from the company. Monica can file a complaint against Persian Footfalls under what act? A) the Clayton Act B) the Sarbanes-Oxley Act C) […]
QUESTION Viktor says he agreed to house-sit for the Deeners for three months for $300 per month, for $900 total. The Deeners say the agreement was for $300 total. If this case went to arbitration, under which condition of contract law would the case most likely be handled? A) Capacity: Viktor would need to prove […]
QUESTION What are antitrust laws? A) laws to regulate competition B) laws protecting buyers C) laws affecting relief for debtors D) laws affecting sales transactions E) laws applying to wrongful injuries ANSWER Answer: A Explanation: A) Antitrust law consists of laws designed to keep markets competitive by deterring big businesses from driving out small […]
QUESTION Which of the following correctly describes the specific performance type of remedy to a breach of contract? A) I have the right to decide that no further action is necessary. B) I have the right to insist the other party go ahead with his or her part of the agreement. C) The other party […]
QUESTION Robin and Chris have divorced and each wants full custody of their son. What legal options are open to them at this point? What will be an ideal response? ANSWER Answer: Robin and Chris have three options. (1) They could go to mediation, in which a neutral third party listens to both sides […]
QUESTION The Freedom Philharmonic Orchestra was scheduled to play a concert at a riverside pavilion. But the conductor of the orchestra got into an argument with the pavilion’s director over hours available for rehearsal, and the conductor said the orchestra would not go through with the concert. The pavilion’s director got a court to compel […]
QUESTION Rolando had a written contract that he was to perform a poetry reading at a local bookstore for $300, but the bookstore made a mistake and double-booked: It had a second poet at the store at the same time. So Rolando was unable to do his reading. The bookstore said it owed Rolando nothing […]
