All of the following are proposed solutions to the medical malpractice problem EXCEPT A) shortening the statute of limitations for filing lawsuits. B) eliminating arbitration panels to resolve disputes. C) placing limitations on contingent fees charged by attorneys. D) placing limitations on damage awards. ANSWER Answer: B
The goal of the firm should be A) maximization of sales. B) maximization of market share. C) maximization of shareholder wealth. D) maximization of profits (net income per share). ANSWER C
James was injured in an auto accident caused by another motorist’s negligence. To reimburse him for his hospital bills and lost earnings, items which can be specifically itemized, James will receive A) punitive damages. B) special damages. C) imputed damages. D) general damages. ANSWER Answer: B
Michelle had major abdominal surgery. Months after the surgery, she still did not feel well. When she was operated on again, the surgeon discovered two sponges that were not removed at the conclusion of the first operation. Michelle should be able to collect damages without having to prove negligence under the doctrine of A) joint […]
Francis opened a store. She knows that customers who come to the store may be injured on the premises and hold her responsible for their injuries. Under common law, business customers in the store Francis opened are considered A) aliens. B) licensees. C) trespassers. D) invitees. ANSWER Answer: D
Venture capitalists typically provide funds to high-risk startup companies but take no active role in their management. Indicate whether the statement is true or false ANSWER FALSE
All of the following are categories of torts EXCEPT A) intentional torts. B) breach of contract. C) strict liability. D) negligence. ANSWER Answer: B
Alternative techniques for resolving legal disputes without litigation include which of the following? I. Arbitration II. Mediation A) I only B) II only C) both I and II D) neither I nor II ANSWER Answer: C
Which of the following may give rise to imputed negligence? A) employer-employee relationships B) injury to a trespasser C) sole proprietorships D) attractive nuisance situations ANSWER Answer: A
Traditionally, federal state, and local governments could not be sued. This immunity had eroded over time. Today, government units may be liable for injuries arising out of money-making activities. Such activities are called A) municipal operations. B) proprietary functions. C) commercial ventures. D) pecuniary interest. ANSWER Answer: B
