The Legal Environment of Business Text and Cases 11th Edition by Frank B. Cross test bank
True / False
1. In the United States, the law consists of written laws and court decisions.
a.
True
b.
False
ANSWER:
True
2. The legal rules that control a business’s actions reflect past and current thinking about how similar businesses should and should not act.
a.
True
b.
False
ANSWER:
True
3. Because laws may change, the ability to analyze and evaluate the legal ramifications of situations as they arise is not a lasting skill.
a.
True
b.
False
ANSWER:
False
4. The study of business law does not involve an ethical dimension.
a.
True
b.
False
ANSWER:
False
5. Compartmentalizing the law into discrete topics indicates that each business transaction is subject to only one specific area of the law.
a.
True
b.
False
ANSWER:
False
6. A constitution is a primary source of law.
a.
True
b.
False
ANSWER:
True
7. A statute is a secondary source of law.
a.
True
b.
False
ANSWER:
False
8. A secondary source of law establishes the law on a particular issue.
a.
True
b.
False
ANSWER:
False
9. Courts often refer to secondary sources of law for guidance in interpreting and applying a primary source of law.
a.
True
b.
False
ANSWER:
True
10. Even if it conflicts with the U.S. Constitution, a state constitution is supreme within that states’ borders.
a.
True
b.
False
ANSWER:
False
11. The U.S. Constitution is the basis of all law in the United States.
a.
True
b.
False
ANSWER:
True
12. Only if a state legislature adopts a uniform law does that law become part of the statutory law of that state.
a.
True
b.
False
ANSWER:
True
13. A citation is a regulation enacted by a city or county legislative body.
a.
True
b.
False
ANSWER:
False
14. A local ordinance commonly has to do with a matter concerning only a local governing unit.
a.
True
b.
False
ANSWER:
True
15. A federal statute applies only to those states that agree to apply it within their borders.
a.
True
b.
False
ANSWER:
False
16. Congress or a state legislature establishes an administrative agency to perform a specific function.
a.
True
b.
False
ANSWER:
True
17. Independent regulatory agencies are not subject to the authority of the president.
a.
True
b.
False
ANSWER:
False
18. Rules issued by administrative agencies affect almost every aspect of a business’s operations.
a.
True
b.
False
ANSWER:
True
19. Federal agency regulations do not take precedence over conflicting state regulations.
a.
True
b.
False
ANSWER:
False
1. In the United States, the law consists of written laws and court decisions.
a.
True
b.
False
ANSWER:
True
2. The legal rules that control a business’s actions reflect past and current thinking about how similar businesses should and should not act.
a.
True
b.
False
ANSWER:
True
3. Because laws may change, the ability to analyze and evaluate the legal ramifications of situations as they arise is not a lasting skill.
a.
True
b.
False
ANSWER:
False
4. The study of business law does not involve an ethical dimension.
a.
True
b.
False
ANSWER:
False
5. Compartmentalizing the law into discrete topics indicates that each business transaction is subject to only one specific area of the law.
a.
True
b.
False
ANSWER:
False
6. A constitution is a primary source of law.
a.
True
b.
False
ANSWER:
True
7. A statute is a secondary source of law.
a.
True
b.
False
ANSWER:
False
8. A secondary source of law establishes the law on a particular issue.
a.
True
b.
False
ANSWER:
False
9. Courts often refer to secondary sources of law for guidance in interpreting and applying a primary source of law.
a.
True
b.
False
ANSWER:
True
10. Even if it conflicts with the U.S. Constitution, a state constitution is supreme within that states’ borders.
a.
True
b.
False
ANSWER:
False
11. The U.S. Constitution is the basis of all law in the United States.
a.
True
b.
False
ANSWER:
True
12. Only if a state legislature adopts a uniform law does that law become part of the statutory law of that state.
a.
True
b.
False
ANSWER:
True
13. A citation is a regulation enacted by a city or county legislative body.
a.
True
b.
False
ANSWER:
False
14. A local ordinance commonly has to do with a matter concerning only a local governing unit.
a.
True
b.
False
ANSWER:
True
15. A federal statute applies only to those states that agree to apply it within their borders.
a.
True
b.
False
ANSWER:
False
16. Congress or a state legislature establishes an administrative agency to perform a specific function.
a.
True
b.
False
ANSWER:
True
17. Independent regulatory agencies are not subject to the authority of the president.
a.
True
b.
False
ANSWER:
False
18. Rules issued by administrative agencies affect almost every aspect of a business’s operations.
a.
True
b.
False
ANSWER:
True
19. Federal agency regulations do not take precedence over conflicting state regulations.
a.
True
b.
False
ANSWER:
False