Lwc1 Study Guide

Only available on StudyMode
  • Download(s) : 248
  • Published : September 17, 2012
Open Document
Text Preview
1.An individual makes an offer to buy an item from a company for $5,000.

When is a contract for the purchase of the item created?

Choose 1 answer
A.
When the offer is accepted by the company
B.
When the offer is presented to the company
C.
When the individual presents the $5,000 to the company
D.
When the company makes a counteroffer

2.What are the elements that make a contract enforceable?

Choose 1 answers

A.
Terms, configuration, timeliness, legality
B.
Offer, entitlement, majority, legality
C.
Offer, acceptance, consideration, morality
D.
Agreement, consideration, capacity, legality

3.At what point is a contract implied?

Choose 1 answer

A.
When contract terms are explicitly stated
B.
When written terms of the contract are approved by the parties' attorneys C.
When all important terms of the contract are expressed in writing D.
When the conduct of the parties indicates the terms of the contract

4.What action by a party to a contract constitutes a breach of the contract?

Choose 1 answer

A.
One party indicates the contract may not be performed in the future unless certain conditions occur. B.
One party requests that the other party perform additional actions not included in the contract. C.
The parties agree not to perform any of the terms included in the contract. D.
One party refuses to perform one of the contract terms.

5.Which type of remedy to breach of contract is compensatory damages?

Choose 1 answer

A.
Injunctive remedy
B.
Restitution remedy
C.
Equitable remedy
D.
Expectation remedy

6.ABC Company is dominant in a market that XYZ Company intends to enter.

Which practice is a violation of antitrust laws?

Choose 1 answer

A.
ABC offers coupons and special sales to its customers to increase market dominance. B.
ABC prevents XYZ from using local private carriers by creating exclusive contracts with the carriers. C.
ABC develops a marketing scheme that compares its products favorably to those produced by XYZ. D.
ABC reduces prices to its retailers and offers deeper discounts to compete more aggressively with XYZ.

7.What was the purpose of the Sherman Antitrust Act of 1890?

Choose 1 answer

A.
To increase competition in the oil industry
B.
To prevent actions increasing trade in the textile industry
C.
To increase competition among the utility companies
D.
To prevent extreme concentrations of economic power



8.Which business practice would be a violation of the Clayton Antitrust Act of 1914?

Choose 1 answer

A.
Companies A and B engage in exclusive talks to control prices to maintain high levels of profitability. B.
Companies A and B develop new marketing plans to gain more market share. C.
Companies A and B independently reduce prices to increase sales revenues and gain market share. D.
Companies A and B develop plans to increase market share through the introduction of new product features.


9.What laws do the Federal Trade Commission enforce?

Choose 1 answer

A.
Consumer laws
B.
Employment laws
C.
Patent laws
D.
Competition laws

10.A store advertises a certain item for a sale price of $450. A customer goes to that store on the day of the advertisement to purchase the item. The salesperson indicates that the advertised item is out of stock but a more advanced model of the item is available for $550.

What practice prohibited under the Federal Trade Commission Act has the store used?

Choose 1 answer

A.
Consumer fraud
B.
Bait and switch
C.
Unfair promotions
D.
Deceptive advertising

11.Which actions of a water bottling company would be regulated by the Environmental Protection Agency?

Choose 1 answer

A.
Inventing water-bottling equipment
B.
Selling bottled water
C.
Selling water-bottling equipment
D.
Selling empty water bottles...
tracking img