BUSI 2001 FINAL EXAM WEEK 6 WITH ANSWERS

BUSI 2001 FINAL EXAM WEEK 6 WITH ANSWERS 1 Week 6: Negotiable Instruments and Government Regulation - Final Exam Help Time Remaining: 1. Except as provided by statute, oral contracts are just as enforceable as written contracts. (Points: 5) True False 2. Full performance is the most common method by which contracts are discharged. (Points: 5) True False 3. One of the elements necessary to establish fraud is a false statement or concealment of a material fact. (Points: 5) True False 4. The UCC requires all parties entering a sales contract to perform their obligations in good faith. (Points: 5) True False 5. The term goods includes intangible personal property such as shares of stock. (Points: 5) True False 6. A check is an instrument that is payable on demand. (Points: 5) BUSI 2001 FINAL EXAM WEEK 6 WITH ANSWERS 2 True False 7. Gambling is a legal form of playing for stakes, such as in a lottery. (Points: 5) True False 8. The parol evidence rule states that terms of a written contract can be changed by prior oral or written agreements. (Points: 5) True False 9. If the subject matter essential to the performance of the contract is destroyed through no fault of either party, the contract is considered discharged. (Points: 5) True False 10. When money damages do not adequately and fairly compensate for a loss, the injured party can sue for specific performance or request a court to issue an injunction. (Points: 5) True False 11. In seeking damages, the victim of a breach of contract has a duty to (Points: 5) Increase the amount of the damages Mitigate the damages Liquidate the damages Rescind the contract 12. Jones sued Smith for breach of contract. The court awarded Jones damages of $1. BUSI 2001 FINAL EXAM WEEK 6 WITH ANSWERS 3 This award is known as (Points: 5) Liquidated damages Nominal damages Premeditated damages Mitigated damages 13. The statute of limitations (Points: 5) Specifies the time within which a lawsuit can be filed Requires that certain contracts be in writing Requires the use of written evidence of an action at a trial Contains the same provisions in all of the United States 14. The most common form of negotiable instrument is (Points: 5) A draft A check A promissory note A certificate of deposit 15. A promissory note must contain (Points: 5) Words indicating a promise to pay Mention of an IOU A certificate of deposit A date 16. A check that contains the words three hundred fifty dollars and the figures $3.50 is (Points: 5) Payable in the amount of $350 Illegal Payable in the amount of $3.50