Test Bank Dynamic Business Law, 5th Edition, Nancy
Kubasek, M. Neil Browne, Daniel Herron, Lucien Dhooge,
Linda Barkacs, ISBN10: 1260247899, ISBN13:
9781260247893
1
,Dynamic Business Law, 5e (Kubasek)
Chapter 1 An Introduction to Dynamic Business Law
1) Business law consists of the enforceable rules of conduct that govern commercial
relationships.
Answer: TRUE
Explanation: Business law consists of the enforceable rules of conduct that govern commercial
relationships.
Difficulty: 1 Easy
Topic: An Introduction to Dynamic Business Law
Learning Objective: 01-01 Define business law.
Bloom's: Remember
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
2) Contracts, employment decisions and payments to suppliers are protected by business law.
Answer: TRUE
Explanation: Business behavior must follow legal guidelines. All contracts, employment
decisions, and payments to a supplier are constrained and protected by business law.
Difficulty: 1 Easy
Topic: Law and Its Purposes
Learning Objective: 01-02 Relate the functional areas of business to the relevant areas of
business law.
Bloom's: Remember
AACSB: Ethics
Accessibility: Keyboard Navigation
3) There are many purposes of the law. One such purpose is serving as a moral guide by
indicating minimal expectations of citizens and organizations.
Answer: TRUE
Explanation: Serving as a moral guide by indicating minimal expectations of citizens and
organizations is one purpose of the law.
Difficulty: 1 Easy
Topic: Law and Its Purposes
Learning Objective: 01-03 Recall the purposes of law.
Bloom's: Remember
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
2
,4) Public law controls both disputes between private individuals and their government and
disputes involving only private individuals.
Answer: FALSE
Explanation: Public law controls disputes between private individuals or groups and their
government. Private law controls disputes between private individuals or groups.
Difficulty: 2 Medium
Topic: Classification of the Law
Learning Objective: 01-04 Distinguish among types of law.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
5) Criminal law lays out the rights and responsibilities implied in relationships between persons.
Answer: FALSE
Explanation: Civil law lays out the rights and responsibilities implied in relationships between
persons.
Difficulty: 2 Medium
Topic: Classification of the Law
Learning Objective: 01-04 Distinguish among types of law.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
6) Only civil law regulates the behavior of individuals.
Answer: FALSE
Explanation: Both criminal and civil law regulate the behavior of individuals.
Difficulty: 2 Medium
Topic: Classification of the Law
Learning Objective: 01-04 Distinguish among types of law.
Bloom's: Understand
AACSB: Technology
Accessibility: Keyboard Navigation
3
, 7) Statutory law is the supreme law of the land and the foundation for all laws in the United
States.
Answer: FALSE
Explanation: The U.S. Constitution is the supreme law of the land, and the foundation for all
laws in the United States.
Difficulty: 2 Medium
Topic: Sources of Business Law
Learning Objective: 01-05 Differentiate between sources of the law.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
8) Another name for case law is common law.
Answer: TRUE
Explanation: Case law, also called common law, is the collection of legal interpretations made
by judges.
Difficulty: 1 Easy
Topic: Sources of Business Law
Learning Objective: 01-05 Differentiate between sources of the law.
Bloom's: Remember
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
9) Case law interpretations are law, unless they are revoked later by new statutory law.
Answer: TRUE
Explanation: Case law interpretations are law unless revoked later by new statutory law.
Difficulty: 1 Easy
Topic: Sources of Business Law
Learning Objective: 01-05 Differentiate between sources of the law.
Bloom's: Remember
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
4
Kubasek, M. Neil Browne, Daniel Herron, Lucien Dhooge,
Linda Barkacs, ISBN10: 1260247899, ISBN13:
9781260247893
1
,Dynamic Business Law, 5e (Kubasek)
Chapter 1 An Introduction to Dynamic Business Law
1) Business law consists of the enforceable rules of conduct that govern commercial
relationships.
Answer: TRUE
Explanation: Business law consists of the enforceable rules of conduct that govern commercial
relationships.
Difficulty: 1 Easy
Topic: An Introduction to Dynamic Business Law
Learning Objective: 01-01 Define business law.
Bloom's: Remember
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
2) Contracts, employment decisions and payments to suppliers are protected by business law.
Answer: TRUE
Explanation: Business behavior must follow legal guidelines. All contracts, employment
decisions, and payments to a supplier are constrained and protected by business law.
Difficulty: 1 Easy
Topic: Law and Its Purposes
Learning Objective: 01-02 Relate the functional areas of business to the relevant areas of
business law.
Bloom's: Remember
AACSB: Ethics
Accessibility: Keyboard Navigation
3) There are many purposes of the law. One such purpose is serving as a moral guide by
indicating minimal expectations of citizens and organizations.
Answer: TRUE
Explanation: Serving as a moral guide by indicating minimal expectations of citizens and
organizations is one purpose of the law.
Difficulty: 1 Easy
Topic: Law and Its Purposes
Learning Objective: 01-03 Recall the purposes of law.
Bloom's: Remember
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
2
,4) Public law controls both disputes between private individuals and their government and
disputes involving only private individuals.
Answer: FALSE
Explanation: Public law controls disputes between private individuals or groups and their
government. Private law controls disputes between private individuals or groups.
Difficulty: 2 Medium
Topic: Classification of the Law
Learning Objective: 01-04 Distinguish among types of law.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
5) Criminal law lays out the rights and responsibilities implied in relationships between persons.
Answer: FALSE
Explanation: Civil law lays out the rights and responsibilities implied in relationships between
persons.
Difficulty: 2 Medium
Topic: Classification of the Law
Learning Objective: 01-04 Distinguish among types of law.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
6) Only civil law regulates the behavior of individuals.
Answer: FALSE
Explanation: Both criminal and civil law regulate the behavior of individuals.
Difficulty: 2 Medium
Topic: Classification of the Law
Learning Objective: 01-04 Distinguish among types of law.
Bloom's: Understand
AACSB: Technology
Accessibility: Keyboard Navigation
3
, 7) Statutory law is the supreme law of the land and the foundation for all laws in the United
States.
Answer: FALSE
Explanation: The U.S. Constitution is the supreme law of the land, and the foundation for all
laws in the United States.
Difficulty: 2 Medium
Topic: Sources of Business Law
Learning Objective: 01-05 Differentiate between sources of the law.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
8) Another name for case law is common law.
Answer: TRUE
Explanation: Case law, also called common law, is the collection of legal interpretations made
by judges.
Difficulty: 1 Easy
Topic: Sources of Business Law
Learning Objective: 01-05 Differentiate between sources of the law.
Bloom's: Remember
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
9) Case law interpretations are law, unless they are revoked later by new statutory law.
Answer: TRUE
Explanation: Case law interpretations are law unless revoked later by new statutory law.
Difficulty: 1 Easy
Topic: Sources of Business Law
Learning Objective: 01-05 Differentiate between sources of the law.
Bloom's: Remember
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
4
