A legal wrong for which the law allows a remedy in the form of money damages is a A) crime. B) breach. C) misdemeanor. D) tort. ANSWER Answer: D
Date: September 19th, 2020
One requirement for proving that an act was negligent is the existence of an unbroken chain of events between the act and the injury or harm that occurred. This unbroken chain of events is called A) condition precedent. B) cause and effect. C) proximate cause. D) condition subsequent. ANSWER Answer: C
Date: September 19th, 2020
One of the causes of the recent financial crisis in the United States has been excessive risk taking due to underestimation of risk. How does this relate to shareholder wealth maximization and financial leverage? Can overestimation of risk also be detrimental? ANSWER Underestimation of risk can lead managers to borrow excessively to fund […]
Date: September 19th, 2020
Transactions in the futures markets involve current payments for goods which will be delivered at some future agreed upon date. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
Under state workers compensation programs, employers may not use common law defenses to defend against claims of workers who are injured on the job. In such cases, proof of a worker’s injury is proof of responsibility of the employer. Because of this characteristic, workers compensation is an example of A) personal injury. B) strict (absolute) […]
Date: September 19th, 2020
Someone who is asked to come on to the property to benefit the property owner, such as customers at a store or a garbage collector, is classified as a(n) A) trespasser. B) resident agent. C) invitee. D) licensee. ANSWER Answer: C
Date: September 19th, 2020
One tort reform proposal is capping noneconomic damages. Noneconomic damages include A) payment for time missed from work. B) payment for the cost of a hospital stay. C) payment for pain and suffering. D) payment for the cost of care provided by a physical therapist. ANSWER Answer: C
Date: September 19th, 2020
Under a dram shop law, a business may be held liable for damages resulting from A) the sale of alcohol. B) the creation of an unsafe work place. C) the sale of prescription drugs. D) the creation of a hostile work environment. ANSWER Answer: A
Date: September 19th, 2020
Which of the following is the most important goal that a corporation should strive for? A) maximize market share B) maximize revenue C) maximize shareholder wealth D) maximize current profits ANSWER C
Date: September 19th, 2020
Documents uncovered after the Exxon Valdez oil spill in Alaska revealed that Exxon could have used double-hulled oil tankers that would have prevented the spill, but the cost of refitting their fleet of single-hulled tankers was considered too high . Exxon determined that the cost of cleaning up an oil spill would be less than […]
Date: September 19th, 2020
