QUESTION SnowDonuts, a maker of snow tubes, owes many thousands of dollars to suppliers of the plastic from which the tubes are made. The suppliers have asked the courts to force SnowDonuts to repay. But SnowDonuts just got its three biggest orders ever. What would the courts likely do? A) have SnowDonuts file voluntary Chapter […]
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 A negotiable instrument represents only guarantees of terms specifically stated by the seller. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: A negotiable instrument may include terms not specifically stated by the seller.
QUESTION Jane, a 45-year-old who had suffered brain injury as a result of an aneurysm, was walking by a hot tub dealership when the salesperson invited her in to look at his newest model spa. When the salesperson told Jane she could own the tub, Jane was very excited. She agreed to the payment plan […]
QUESTION Statutory laws can be written by the U.S. Congress, city councils, and state legislatures. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: Statutory laws, called statutes, are written laws that are created by legislative bodies.
QUESTION The Consumer Financial Protective Bureau, an independent agency housed in the Federal Reserve with its own budget and director and the authority to prevent or correct financial abuses, was set up as an attempt to try to prevent another big financial crisis. It is responsible for financial consumer protection. The CFPB is an example […]
QUESTION Implied warranties represent only guarantees of terms specifically stated by the seller. Indicate whether the statement is true or false. ANSWER Answer: FALSE Explanation: An implied warranty may represent terms not specifically stated by the seller.
QUESTION Deregulation is the scaling back, or relaxation in enforcement, of laws and administrative rules that seemed to restrain competition. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: Deregulation is the scaling back, or relaxation in enforcement, of laws and administrative rules that seemed to restrain competition.
