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Chapter Quiz
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1
The regulation of marriages and payments for personal injuries is covered by:
A)civil law.
B)criminal law.
C)appellate law.
D)statutory law.
2
The remedy for a tort is:
A)imprisonment.
B)a breach of contract.
C)specific adherence.
D)monetary compensation.
3
The Nike Swoosh and the Golden Arches of McDonald's are examples of a:
A)trademark.
B)submarine patent.
C)copyright.
D)business-protected image.
4
Which of the following is a requirement for commercial paper to be considered a negotiable instrument? It must:
A)be signed in approval by a third party.
B)contain a conditional promise to pay.
C)be made payable to the bearer or to specific order.
D)be an oral agreement between two or more parties.
5
One of the reasons you bought your mom a name-brand mixer for Mother's Day was that it came with a full warranty. This means that:
A)the mixer is guaranteed to last for 10 years with normal use.
B)the mixer will make wonderful baked goods as well as pasta.
C)the mixer will be repaired or replaced at no charge if it is defective.
D)only the body of the mixer is covered by the mixer manufacturer.
6
Which of the following describes the requirement that both parties in a legally binding contract must give something of value?
A)competent parties
B)mutual acceptance
C)consideration
D)compensation
7
Tying contracts were prohibited by the Clayton Act of 1914 because these contracts:
A)required retailers to use false and misleading packaging.
B)required retailers to purchase unwanted items in order to purchase desired items.
C)forced households to buy wanted products in order to buy a desired product.
D)forced competitors into price discrimination agreements.
8
A government policy aimed at reducing the purchase of a specific good through increased taxes has been most often applied to:
A)cigarettes
B)sports cars
C)white bread
D)diet soft drinks
9
The section of the Bankruptcy Code that allows a business to reorganize and pay only a limited proportion of its debts is Chapter:
A)7.
B)11.
C)13.
D)21.
10
One result of deregulation in the airline industry has been:
A)less intense competition.
B)increase aviation related fatalities.
C)higher prices for consumers.
D)more airline route choices for consumers.





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