C241 Business Law for Accountants Pre-Assessment- Western Governors University

PRE-ASSESSMENT: BUSINESS LAW FOR ACCOUNTANTS (WHC1) PWHC 1. What is the purpose of informal agency actions? To provide an informal means to resolve a dispute To rectify a dispute to the agency’s satisfaction To allow an agency to take an administrative act against an individual or organization To provide advance notice that formal rulemaking may be forthcoming 2. Which action has the government implemented in order to minimize health care costs? Insurance companies cannot increase rates for two years and must apply for an increase after two years. Insurance companies must spend at least 80% of individual premiums on benefits or pay a rebate to the insured. Insurance companies are required to participate in the National Health Exchange. Insurance companies must spend at least 80% of individual premiums on benefits or are required to decrease rates. 3. Which act did Congress pass in 2011 to give the Food and Drug Administration (FDA) greater authority to recall any food products suspected to be tainted? Federal Food, Drug, and Cosmetic Act Federal Drug Administration Act Food Safety Modernization Act Consumer Food Safety Act 4. A specialized debt-collection agency contacted a consumer at his home at four o’clock in the morning to collect a past due medical bill owed by the consumer’s mother. During the call, the collection agency harassed and threatened the consumer if payment of the debt was not forthcoming. Which federal statute prohibits this type of collection tactic?