AIU BUSN311 Midterm exam

Question 1 of 20 5.0 Points In pre-trial discovery, if a business does not produce incriminating e-mails the court can instruct the jury that it can make negative inferences from the lost documents. A.True B.False Reset Selection

Question 2 of 20 5.0 Points In litigation, indirect non-legal costs are roughly the same amount as direct legal costs. A.True B.False Reset Selection

Question 3 of 20 5.0 Points All of the following are ways to lower business risk except: A.stick to company business B.always be respectful, courteous and constructive C.keep matters confidential D.take shortcuts to increase profits Reset Selection

Question 4 of 20 5.0 Points Issuing a public apology for corporate wrongdoing will always result in increased litigation. A.True B.False Reset Selection

Question 5 of 20 5.0 Points When answering a complaint the defendant can do all of the following except: A.deny the allegations set forth in the complaint B.list defenses C.admit to the allegations set forth in the complaint D.defer answering for 180 days Reset Selection

Question 6 of 20 5.0 Points All of the following are methods of alternative dispute resolution except for: A.mediation B.litigation C.arbitration D.settlement Reset Selection

Question 7 of 20 5.0 Points The monetary damage award set out by the court is the amount the prevailing party is guaranteed to receive from the losing party. A.True B.False Reset Selection

Question 8 of 20 5.0 Points Examples of antitrust activities include all of the following except for: A.price fixing B.allocation of markets C.standardization among trade association members D.concerted refusal to deal Reset Selection

Question 9 of 20 5.0 Points The grant of a patent is a limited "monopoly" and can run counter to the antitrust principle encouraging free and open markets. A.True B.False Reset Selection

Question 10 of 20 5.0 Points All of the following are a type of contract except: A.Express B.Implied C.Enduring D.Unilateral Reset Selection

Question 11 of 20 5.0 Points Which of the following is not a form of business organization? A.Limited Liability Corporation B.Partnership C.Sole Proprietorship D.Corporation Reset Selection

Question 12 of 20 5.0 Points Identify the correct statement about liability in business organizations A.A partner is not responsible for the debts of the partnership. B.A sole proprietor is personally liable for all debts of the business. C.A shareholder is responsible for the debts of the corporation. D.A member is personally liable for the debts of the LLC. Reset Selection

Question 13 of 20 5.0 Points The revenue from a Chapter C corporations is taxed twice. A.True B.False Reset Selection

Question 14 of 20 5.0 Points The test for mental capacity to enter into a contract is whether the person has reached the age of majority A.True B.False Reset Selection

Question 15 of 20 5.0 Points A partnership must prepare an income tax return but the partnership pays no income taxes itself. A.True B.False Reset Selection

Question 16 of 20 10.0 Points Using only the course materials, describe three differences between a limited liability company and a corporation. Cite your sources. Question 17 of 20 10.0 Points Using only the course materials, list and provide examples for five defenses to a breach of contract claim. Cite your sources. Question 18 of 20 10.0 Points List three types of contracts that must be in writing in order to be enforceable. What doctrine applies here? Use only the course materials and cite your sources. Question 19 of 20 10.0 Points Jim wants to sell his car to Marsha. Describe what elements would need to be present in order to have a valid contract. Would this contract fall under the UCC? Why or why not? Use only the course materials and cite your sources.

Question 20 of 20

10.0 Points

List at least three factors that weigh in favor of patents. List three factors that weigh in favor of trade secrets. Use only the course materials and cite your sources.