Business Law

Week 3 Test Bus311 Business Law

1. With 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? (Points : 1)       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 2. 2. Title VII of the 1964 Civil Rights Act also applies to employers who employ less than 15 persons for a maximum of 15 hours per week during the year. (Points : 1)




Question 3. 3. Jose’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: (Points : 1)

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 4. 4. State employment laws cannot forbid discrimination based on sexual orientation because discrimination based on sexual orientation is not expressly forbidden under federal civil rights law. (Points : 1)




Question 5. 5. Agencies are crucial to modern business relationships, since it is almost impossible for the owner of a business to conduct all transactions without help. (Points : 1)




Question 6. 6. An employer has a duty to indemnify, or compensate an employee for any losses suffered as a result of authorized legal acts that the employee performs under the employment agreement. (Points : 1)




Question 7. 7. The authority for investigating unfair labor practices is vested in the: (Points : 1)

Fair Labor Standards Board

Equal Employment Opportunity Commission

Federal Trade Commission

National Labor Relations Board


Question 8. 8. Mariel hires Andrew as manager of her store and tells him she will hire all the other employees. Andrew hires Dan, whom he feels is exceptionally qualified. Which of the following best describes the situation? (Points : 1)

Mariel is liable to Dan.

Andrew is liable to Mariel.

Andrew is liable to Dan.

Two of these

All of these


Question 9. 9. The U.S. has more laws protecting workers than any other industrialized nation including Canada and Japan. (Points : 1)




Question 10. 10. Federal employment law does NOT protect against discrimination based on: (Points : 1)

Sexual orientation



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