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GOVT 470 Test 4

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GOVT 470 Test 4 Liberty University Answers

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Updated 2017

1. The crucial issue with the continuity factor of a business’s organizational form is
2. Even though a corporation is treated the same as an individual under most aspects of the law, there are some rights that only individuals can possess.
3. Family-owned and family-operated businesses are common examples of publicly held organizations.
4. To prevent problems that may arise when a partner dies or withdraws from a partnership, the articles of partnership should include a(n)
5. The Internal Revenue Service treats limited liability companies as taxable entities.
6. Which of the following statements is true of primary jurisdiction?
7. The doctrine of primary jurisdiction is invoked when referral to an agency is preferable because of its specialized knowledge or expertise in dealing with the matter in controversy.
8. Substantial evidence is that which a reasonable mind might accept as adequate to support a conclusion.
9. In a(n) ______ type of regulatory authority, an agency can make decisions like a court.
10. The ______ power of administrative agencies is primarily to investigate, prosecute, advise, and supervise.
11. Which of the following statements is true of the Sherman Act?
12. Which of the following statements is true of the good- faith meeting-of-competition defense as permitted by the Robinson-Patman amendment?
13. Tying arrangements do not violate the Sherman Act.
14. The mere exchange of price information among competitors is likely to constitute a Sherman Act violation.
15. Sifco Inc., a tire manufacturing company, stipulates that Rambox Corp. should buy its entire line of Roadgrip tires. Sifco has significant market power in a particular variety of Roadgrip tires for which no substitutes are available in the market. It uses this power to its advantage and does not agree to let Rambox buy less than the entire line of Roadgrip tires. The sales contract between Sifco and Rambox is an example of a
16. The Sarbanes-Oxley Act provides that whenever there is a restatement of the company’s financial condition, then the executives
17. Which of the following statements is true of a seller?
18. The Sarbanes-Oxley Act requires that information pertaining to an insider’s transaction be filed
19. Title II of the Jumpstart Our Business Startups (JOBS) Act of 2012 prohibits companies to advertise or share publicly that they are seeking investments.
20. The information contained in a prospectus is completely different from that contained in a registration statement.
21. Which of the following statements is true of redlining?
22. Under bankruptcy laws, certain creditors receive priority over others in the distribution of a debtor’s assets.
23. Marie is an unmarried woman with a well-paid job. If she applies for credit solely at a bank in her own name, the bank is legally allowed to assign negative values on a credit checklist because of the fact that she is unmarried.
24. Most cases brought by the Bureau of Consumer Protection are settled using
25. Which of the following statements is true of the limitation of the Fair Credit Reporting Act?
26. Which of the following statements is true of the Clean Water Act?
27. If a bank assumes ownership of a piece of contaminated land
28. The primary purpose of the Toxic Substances Control Act is to
29. Under the ______ issued by the Environmental Protection Agency (EPA), polluters can engage in a family of alternative operating scenarios without the expensive delay of obtaining new permits per the previous EPA requirements.
30. Which of the following statements is true of the Endangered Species Act (ESA)?
31. A charge establishing sexual harassment grounds is likely to exist even if no economic loss occurs.
32. Within how many days must an employee file charges of illegal discrimination with the Equal Employment Opportunity Commission after notice of the unlawful practice?
33. In a disparate impact case, a plaintiff must convince the court that an employer intentionally discriminated against the plaintiff.
34. An employer can plead undue hardship, defined as an action requiring significant difficulty or expense, as a reason for not accommodating the needs of disabled employees.
35. In 1991, depending on the size of the employer, Congress amended the Civil Rights Act to allow the recovery of compensatory and punitive damages per person of up to
36. An employer’s publication of an employee handbook can change the nature of at-will employment.
37. Which of the following is true of the Occupational Safety and Health Administration (OSHA)?
38. Under workers’ compensation laws,
39. Flora has been working at Abacrux Inc. for four-and-a- half years. Her pension plan will vest at her five-year work anniversary. She has had great performance evaluations and has received regular raises and promotions. The internal finance department has determined that cost cutting is needed to keep the company profitable. They recommend that Flora be fired before her pension vests and becomes a permanent liability against the corporation. According to the ______ they cannot fire her to prevent her from getting vested pension rights.
40. Under federal law, private employers generally are permitted to use lie detector tests while screening job applicants.
41. Select one of the options from business discussions on pg 680 of your text and answer the questions.
42. Discuss how universal plunder spreads the wealth.

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Other sets

1. The impetus for creating the bene t corporation structure comes from the perception that traditional corporate forms place less emphasis on shareholder rights.
2. A benefit corporation is also known as a B‐Corp.
3. In a(n) ______, the shareholders are taxed only on income distributed.
4. Which of the following is the characteristic of a sole proprietorship?
5. A limited liability company is created through ling the ______ with a state official.
6. The chairperson of an agency usually belongs to a different political party from that of the president to ensure fairness and equal distribution of power among staff members.
7. The mere existence of most government programs automatically creates a new agency or expands the functions of an existing one. These agencies are providing
8. Which of the following federal agencies conducts union certification elections and holds hearings on unfair labor practice complaints?
9. Which of the following statements is true of reviewability of an administrative agency’s decision?
10. A(n) ______ is designated as such at the time of nomination by the president and is the presiding officer at agency meetings.
11. Which of the following is an exemption from the Sherman Act that extends to concerted e orts to lobby government officials?
12. The use of ethical standards to avoid restrictions on price fixing is
13. It now appears the Supreme Court is comfortable limiting the per se illegality analysis to vertical agreements among competitors.
14. The Federal Trade Commission issues industry guides, which must be followed by all industries.
15. The ______ that permits price differentials based on differences in the cost of manufacture, sale, or delivery of commodities is recognized by the Robinson‐Patman amendment.
16. The Securities Act of 1933 is a disclosure law with respect to the initial sale of securities to the public.
17. Securities laws are designed to give potential investors sufficient information so that they can make intelligent investment decisions based on factual information.
18. The Uniform Securities Act has been the model for blue sky laws since 1956.
19. Which of the following statements is true of blue sky laws?
20. According to the Sarbanes‑Oxley Act, auditors are required to preserve audit records for a period of

21. The Truth‑in‑Lending Act covers transactions in which a debtor is a corporation or a business entity.
22. If there are violations of the Equal Credit Opportunity Act (ECOA), affected consumers
23. Most cases brought by the Bureau of Consumer Protection are settled

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24. Most cases brought by the Bureau of Consumer Protection are settled using ______.
25. The familiar telemarketing sales rule that established the national “Do Not Call” list is an example of a(n)
26. The Federal Food, Drug, and Cosmetic Act is administered by the Federal Trade Commission.
27. Landfills are not preferred as disposal sites for business solid waste due to the excessive amount of waste.
28. Which of the following statements is true of private citizens?
29. A factory’s failure to use pollution‐control equipment may be evidence of its failure to exercise ______ resulting in evidence of negligence.
30. Under the Endangered Species Act, the right to declare a species as endangered rests with the
31. It is beyond the rights or authority of shareholders to file global warming‐related resolutions directing board members or officers to analyze and/or report on environmental issues.
32. The Age Discrimination in Employment Act recognizes
33. An employer can plead undue hardship, defined as an action requiring significant difficulty or expense, as a reason for not accommodating the needs of disabled employees.
34. If an employer discovers that it has a job category where one might expect to find more women and minorities employed than are actually in its workforce, the employer has a reasonable basis for
35. The 1991 Civil Rights Act amendments allow the setting of quotas in employment.
36. Delltrix Corp., a customer support provider, needs operators who are bilingual in English and Spanish. A few applicants of Spanish origin are rejected because of their poor English language proficiency. The applicants file a disparate impact case with the Equal Employment Opportunity Commission against Delltrix on the grounds of discrimination based on nationality. Which of the following defenses is Delltrix most likely to use in this case?
37. In the context of tort liability, which of the following doctrines is reflected in the phrase “let the master reply”?
38. Jamie works as a barista at Coffee‐Hutz, a coffeehouse in New Jersey, with 60 other employees. He has been working there full time for 18 months. One day his wife called with some bad news. His mother‐in‐law and 10‐year‐old daughter, Delores, were severely injured in a car accident while returning from school. Jamie has asked his employer for leave under the Family Medical Leave Act (FMLA). In this scenario, which of the following statements is true?
39. Under common law, if an injury was caused by the carelessness of an employee as well as the employer, the employee would be unable to recover damages because of the ______ defense of the employer.
40. In internship programs under the Fair Labor Standards Act (FLSA), an intern is entitled to wages for the time spent in the internship.
41. Liability of an employer exists regardless of lack of negligence or fault, provided the necessary association between the injuries and the business of the employer is present.
42. Review the term “business necessity” and provide a summary of two cases about it. One must be in favor and the other against. What are the terms of the case, what distinguished one business from the other to the extent that the case decision was different?
43. Discuss government spending from the position of either Keynes or Hayek. Which one is correct and why?
44. Under the permits issued by the EPA, polluters can engage in a family of alternative operating scenarios without the expensive delay of obtaining new permits per the previous EPA requirements.
45. With respect to an employee’s religious beliefs, an employer must:
46. In full‐line forcing, the buyer is forced to purchase only one product of the line.
47. An employee is eligible to qualify for the Family and Medical Leave Act benefits if the employee has worked:
48. The has the responsibility of defining “any qualifying exigency” arising out of the fact that a family member is on active duty in support of a contingency operation.
49. Attempts by manufacturers to control retail prices are known as price fixing.
50. Vertical price fixing is also called:
51. Which of the following is true about administrative agencies?
52. Which of the following agencies has been granted the authority to conduct quasi‐ judicial hearings to investigate and enforce sanctions in case of unfair labor practices?
53. If there are violations of the Equal Credit Opportunity Act (ECOA), affected consumers:
54. Which of the following is true of the Sherman Act?
55. refers to the intent of a defendant‐seller to deceive or mislead.
56. Whistleblowers are entitled to awards of lesser amounts when the fraud has already been publicly disclosed and the whistleblower is not an original source.
57. reports refer to reports on a customer’s character, general reputation, mode of living, and so on, obtained by personal interviews in the consumer’s community.
58. A sole proprietor has limited liability for the obligations of the proprietorship.
59. Which of the following types of regulatory authorities issues rules that have an impact of laws?
60. In a 1943 case known as Parker v. Brown, the Supreme Court created a exemption to the Sherman Act.
61. Halle notices that there are unfair pay practices going on at her company wherein whites are being paid higher than African Americans for the same job. She files a complaint because she feels the company is not following the law. The company does not take kindly to the complaint. Halle is demoted, her staff has been taken away from her, and she is forced to take a salary cut. This is an example of:
62. Which of the following is true about the trends in operating business organizations?
63. The Genetic Information Nondiscrimination Act (GINA) establishes a federal baseline for protection against employment discrimination based on genetic information.
64. Which of the following was established by the Noerr‐Pennington doctrine?
65. The approach refers to pollution control system under which the right to discharge a certain pollutant would be auctioned off to the highest bidder.
66. A WARN notice covers a mass layoff involving loss of employment of in a period.
67. Use and transfer of personal property by individuals in the U.S. is unrestricted.
68. One of the advantages for a proprietor is that he may transfer the ownership of his proprietorship whenever desired.
69. The Environmental Protection Agency (EPA) regulates civil aviation to provide safe and efficient use of airspace.
70. Disadvantages of the corporate form of organization include:
71. The Clean Water Act applies to:
72. Infro, Inc., is a major lender licensed to lend only in Delaware. Infro tracks the payment history of its customers and finds that customers in Sussex County perform far below customers in the other counties. Assume that the county which is heavily into farming and low‐paying industrial jobs is 25 percent African‐American and has a 40 percent population of legal and illegal immigrants. Infro finds that while it is profitable overall, it is losing money on the Sussex County loans. Further research reveals that Sussex County is one of the poorest‐performing customer bases nationwide and that most companies doing business in the county are losing money. The board of directors decides not to make any more loans in Sussex County. Which of the following is true?
73. Due diligence defense requires that an expert prove that a reasonable investigation of the financial statements of the issuer and was conducted.
74. A(n) is designated as such at the time of nomination by the president and is the presiding officer at agency meetings.
75. Vertical agreements involving pricing (high and low) and territorial arrangements within channels of distribution are analyzed under the rule of reason.
76. A defrauding seller usually benefits from an increase in the value of the securities.
77. The owners of LLCs are called:
78. Which of the following is NOT true of the statute of limitations?
79. The Taft‐Hartley injunction provision is applicable to all strikes.
80. Which of the following is true about imposition of undue burden?
81. Limited partners:
82. If an employer reports the existence of possible illegal aliens to the authorities when the report is near a time when the employees are approving a labor union as its bargaining agent such a report is considered an unfair labor practice.
83. To prevent multiple taxation of the same property or income of interstate businesses, taxes are
84. Explain the role Labor Unions play in the US labor market.
85. Discuss how universal plunder spreads the wealth.

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