BUS-125 exam 5

Question 1

1. A codicil is a clause in a will affirming an administrator's testamentary capacity.

   True

   False

1 points

Question 2

1. A combination that facilitates the creation of a monopoly is a restraint of trade.

   True

   False

1 points

Question 3

1. An insurance broker ordinarily works for the insurance company.

   True

   False

1 points

Question 4

1. Alpha Communications, Inc., joins with other businesses in its industry to exchange information, represent members' interests before Congress, and lobby for certain regulatory standards. These joint activities are:

   	a.	not subject to antitrust laws.
   	b.	per se violations of the Sherman Act.
   	c.	subject to evaluation under the rule of reason.
   	d.	violations of the Clayton Act.

1 points

Question 5

1. Beth leases an apartment from Carl for one year. After two months, she sublets the premises for six months to Dan, without obtaining Carl's consent. Dan pays the rent for only four months. For the last two months, Beth is

   	a.	liable for the rent, because Dan defaulted.
   	b.	liable for the rent, because the sublease lacked Carl's consent.
   	c.	not liable for the rent, because Beth does not own the apartment.
   	d.	not liable for the rent, because Beth sublet the premises to Dan.

1 points

Question 6

1. A will is probated to establish its validity and to carry out the administration of the estate.

   True

   False

1 points

Question 7

1. A conveyance of property for the life of a specified individual creates a fee simple absolute.

   True

   False

1 points

Question 8

1. A person has an insurable interest in property if he or she would sustain a pecuniary loss from the property's destruction.

   True

   False

1 points

Question 9

1. A subpoena ad testificandum is an order to an individual or an organization to hand over certain records, papers or books.

   True

   False

1 points

Question 10

1. North Korea confiscates the property of foreign investors. Oman expropriates foreign investors' property. Generally observed legal principles of international law are violated by:

   	a.	neither North Korea's confiscation and Oman's expropriation.
   	b.	North Korea's confiscation and Oman's expropriation.
   	c.	North Korea's confiscation only.
   	d.	Oman's expropriation only.

1 points

Question 11

1. When a forum-selection clause is included in an international contract, legal proceedings are more complex and attended by more uncertainty.

   True

   False

1 points

Question 12

1. Ruth executes a will in 2006 naming her nephew Stan as sole beneficiary. In 2009, Ruth executes another will, naming her niece Tammy as sole beneficiary, but does not state in the 2009 will that she is revoking the 2006 will. On Ruth's death:

   	a.	Stan and Tammy will share the estate in equal shares.
   	b.	Stan will be the sole heir.
   	c.	Tammy will be the sole heir.
   	d.	the estate will pass as if there were no will.

1 points

Question 13

1. Sam is an insurance broker. Through Sam, Midstates Manufacturing Company applies for an insurance policy with National Insurers, Inc. In this transaction, Sam is an agent of:

   	a.	Midstates Manufacturing only.
   	b.	National Insurers only.
   	c.	Midstates Manufacturing and National Insurers.
   	d.	none of the above.

1 points

Question 14

1. The National Safety Agency is created to issue regulations to govern manufacturing. Similar to most other agencies, it may given the power to

   	a.	make rules only.
   	b.	adjudicate disputes arising from administrative rules only.
   	c.	make rules and adjudicate disputes arising from those rules.
   	d.	none of the above.

1 points

Question 15

1. The purpose of antitrust law is to prevent competition.

   True

   False

1 points

Question 16

1. Gary rents an apartment to Hugh, who retains possession of the apartment after the lease expires without making any payments on his rent. This is

   	a.	a periodic tenancy.
   	b.	a tenancy at sufferance.
   	c.	a tenancy at will.
   	d.	a tenancy for years.

1 points

Question 17

1. Insurance is an arrangement for transferring or allocating risk.

   True

   False

1 points

Question 18

1. Joy and Kent each own one-half of Local Motion, a delivery service, as a tenant in common. Kent sells his interest to Maria, who now owns

   	a.	no interest in the firm.
   	b.	the firm in fee simple.
   	c.	the firm with Joy as joint tenants.
   	d.	the firm with Joy as tenants in common.

1 points

Question 19

1. Most administrative agencies do not have rule-making and adjudicatory powers.

   True

   False

1 points

Question 20

1. Personal property can be tangible or intangible.

   True

   False