Ashford BUS311 2021 September Week 3 Quiz Latest

BUS311 Business Law I

Week 3 Quiz  

Question 1The U.S. Constitution protects private sector employees through provisions for equal protection and due process.

  True

  False

 Question 2Jose’s mother, Margaret, named Jose as her financial power of attorney so that Jose could endorse her checks, pay her bills and take care of her finances. The day after Margaret died; Jose found Margaret’s retirement check in her mail. Jose endorsed the check as Margaret’s power of attorney and deposited it into Margaret’s sole account. Jose’s actions were:

  appropriate because Margaret gave him a financial power of attorney.

  illegal because Jose’s authority as power of attorney ended upon Margaret’s death.

  appropriate because he was acting in Margaret’s best interest.

  illegal because Jose was not acting in Margaret’s best interest.

Question 3Employees and independent contractors are two types of compensated agents.

  True

  False

 Question 4Peter owns an auto dealership. Peter hires Cara as a receptionist, Ben as a salesperson, Stacy as a mechanic, and the “Clean as a Whistle Co.” to come in at night and clean the premises.  Which situation is LEAST likely to result in liability for Peter?

  Cara, with authority, buys office supplies from Office Stuff.

  Ben sells a car at a $1,000 markdown, after Peter told him not discount more than $500.

  Stacy forgets to put the oil plug back into Daria’s car after an oil change, damaging the engine when the oil runs out.

  Esmeralda from “Clean as a Whistle Co.” runs over Patty Pedestrian in the dealership’s parking lot.

Question 5The U.S. has laws that prevent an employer from terminating employees without due cause.

  True

  False

 Question 6In the case Christopher v. Smithkline Beecham Corporation, in which an employee sued for overtime under the Fair Labor Standards Act, the Supreme Court concluded:

  Christopher was an independent contractor.

  Christopher was discriminated against because of his age.

  Not all salespeople actually sell products.

  The FLSA does not apply to the pharmaceutical industry.

Question 7Agencies are crucial to modern business relationships, since it is almost impossible for the owner of a business to conduct all transactions without help.

  True

  False

 Question 8Mariel hires Andrew as manager of her sporting goods store. Nothing is said to Andrew about hiring other employees, but the store is understaffed, so Andrew hires two clerks. Andrew has what type of authority to hire the clerks?

  Actual authority

  Apparent authority

  Ratified authority

  No authority

Question 9With authority, Ganeesh contracts to buy Sam’s farm for Belinda. Because he believes that Sam will raise the price if he finds out that he is representing Belinda, Ganeesh does not tell Sam he is representing anyone. On the day of the closing, neither Ganeesh nor Belinda shows up. Which of the following statements is NOT true?

  Sam could hold Ganeesh liable on the contract.

  Sam could hold Belinda liable on the contract.

  Belinda could legally withdraw from the contract before the closing.

  If he is sued, Ganeesh can recover indemnification from Belinda.

  All of these

Question 10Peter tells Annabel to mark down all products 15% for a weekend sale. Annabel, correctly thinking that some items are so in demand they will still sell with only a 5% discount, sells some products with a 5% discount, some with 15%, and some with no discount at all. She keeps the extra as a bonus, figuring that Peter is expecting regular price minus 15%. All the inventory sells in the weekend sale. Which of the following is true?

  Annabel has breached her duty of obedience.

  Annabel has breached her duty of loyalty.

  Peter can recover the “bonus” from Annabel.

  Peter can fire Annabel.

  All of these