Question 1

Which of the following is a theory that recognizes that firms have relationships with many constituent groups which both affect and are affected by the actions of the firm?

  1. Stakeholder
  2. Stockholder
  3. Relational
  4. Cohesive

Question 2

Managers can make their own ______ law by entering into contracts and crafting certain governance structures.

  1. Public
  2. Primary
  3. Cohesive
  4. Private

Question 3

The ______ approach recognizes that “business decisions consist of continuous, interrelated economic and moral components.”

  1. Procedural
  2. Systems
  3. Conciliatory
  4. Mandated

Question 4

Which of the following is listed in the text as a component of managing risk when assembling a team in business development?

  1. Analyzing any covenants not to compete
  2. Purposefully refusing to address issues such as sexual harassment at such an early stage
  3. Informing employees regarding the e-mail communications are not discoverable
  4. Refusing to provide whistleblower protection

Question 5

The ______ approach to business and society introduced in the text is a descriptive framework that integrates legal and societal considerations with mainstream theories of competitive advantage and social responsibility.

  1. Integrative
  2. Systems
  3. Proactive
  4. Economic

Question 6

Which of the following is an advocacy group that has lobbied against marketing to children?

  1. The Alliance to Ban Advertising Targeting Children
  2. The Protect the Children Foundation
  3. The Center for Science in the Public Interest
  4. The Group for Ethical Marketing Practices

Question 7

Congress rescinded the jurisdiction of which of the following agencies over advertising to children?

  1. The American Consumer Agency
  2. The Federal Communications Commission
  3. The Federal Trade Commission
  4. The Federal-State Advertising Coalition

Question 8

Which of the following is a term addressing the ability of a manager to communicate effectively with counsel and to work together to solve complex problems?

  1. Legal astuteness
  2. Conciliatory interaction
  3. Mediation
  4. Arbitration

Question 9

According to the Delaware Supreme Court, when does the role of a director shift from being a “protector of the corporate bastion” to being an “auctioneer” charged with obtaining the highest realizable short-term value for the shareholders?

  1. Only when the breakup of the corporation or a change of control has become inevitable
  2. Whenever a yearly loss is reflected
  3. At the point that a yearly loss has been reflected for three straight years
  4. When the CEO and the board of directors are in disagreement, and there has also been a yearly loss reflected for three straight years

Question 10

According to the Kantian theory of universalizability, the ethical worth of an act is determined by whether one

  1. would want such a rule applied to minority members of society
  2. would want everyone to perform in this manner
  3. could get away with such an action
  4. could live with the results of such an action

Question 11

Which of the following are the three main theories under the comparative justice framework?

  1. Retributive, Kantian, and Rawlsian
  2. Compensatory, comparative, and retributive
  3. Distributive, compensatory, and retributive
  4. Utilitarianism, teleological, and compensatory

Question 12

Which of the following is not an example of St. Thomas Aquinas’ requirements for a law to be just?

  1. The law must be within the power of individuals to fulfill it.
  2. The law must be consonant with a reasoned determination of the universal good.
  3. The law must be formed to promote a private benefit to the majority.
  4. The law must be widely promulgated.

Question 13

Rawls believed that social policies developed behind the veil of ignorance would create a system that most benefits the

  1. Majority
  2. Minority
  3. Least well off
  4. Most well off

Question 14

Which of the following is a stakeholder of a corporation?

  1. Customers only
  2. Employees and customers, but not managers
  3. Managers and employees, but not customers
  4. Customers, employees and managers

Question 15

Which of the following international organizations adopted a convention criminalizing bribes to government officials and recommending a prohibition on the tax deductibility of bribes?

  1. The Foreign Corrupt Practices Consortium
  2. The Organization of Economic Cooperation and Development
  3. The International Business Legal and Ethical Revision Association
  4. Transparency International

Question 16

In 2010, the average CEO of a company in the Standard and Poor’s 500 Index took home more than _____ times as much as the average worker.

  1. 50
  2. 100
  3. 300
  4. 500

Question 17

The critical test under the Due Process Clause in determining whether jurisdiction over an out-of-state defendant exists is:

Whether the defendant has certain minimum contacts with the state such that the maintenance of the suit does not offend traditional notions of fair play and substantial justice.

Question 18

Robert had a dispute with his neighbor regarding the location of the property line. Robert’s attorney suggests to Robert that both parties contribute funds toward hiring individuals to serve on a nonbinding jury and render a suggested verdict. Which of the following is the appropriate term for that type of procedure?

  1. Summary jury trial
  2. Nonbinding jury trial
  3. Private jury trial
  4. Procedural jury trial

Question 19

The _____________ officially notifies a defendant that a lawsuit is pending and that a response to the complaint must be filed within a certain number of days.





Question 20

The party appealing a case is referred to as which of the following?





Question 21

Which of the following is a term referencing the method used for determining the citizenship of a corporation for purposes of diversity of citizenship?

The nerve-center test

Question 22

When it decides to hear a case, the U.S. Supreme Court issues a ____________ordering the lower court to certify the record of proceedings below and send it up to the Supreme Court.

Writ of certiorari

Question 23

A ______ action is brought by a representative of many people suffering the same harm.


Question 24

Assuming that more than one forum has jurisdiction over a lawsuit, the doctrine of ____________ involves a determination of which forum is more appropriate.

  1. Jurisdiction non conveniens
  2. Convenient state proceeding
  3. Forum non conveniens
  4. Subject matter jurisdiction

Question 25

The ______________ control the civil trial practices in all of the U.S. district courts.

Federal Rules of Civil Procedure

Universal Rules of Civil Procedure

National Rules of Civil Court Conduct

Common Rules of Civil Procedure

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