WGU C713 PA
WGU C713 PA Exam Questions And
Answers Latest Update
Two friends want to start a business. They are unsure of which business organization to create
and consider creating a C corporation.
Which characteristic element is most true of C corporations?
Day-to-day management is strictly the responsibility of the directors.
Ownership is contractually restricted and is not transferable.
Large amounts of capital can be raised through the issuance of shares.
The business is free from state regulation. - ANSWER ✔ - Large amounts of capital can be raised
through the issuance of shares.
Which type of law governs an individual's prosecution for the crime of theft?
Statutory law
Common law
Constitutional law
Administrative law - ANSWER ✔ - Statutory law
From which source do laws governing crimes primarily arise?
Civil law
Statutory law
Administrative law
Constitutional law - ANSWER ✔ - Statutory law
1
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,WGU C713 PA
Which type of law provides the basis for substantive due process and equal protection?
Civil law
Criminal law
Common law
Constitutional law - ANSWER ✔ - Constitutional law
Which source of law involves government agencies that interpret and enforce new laws?
Civil law
Statutory law
Common law
Administrative law - ANSWER ✔ - Administrative law
Two individuals are involved in a dispute over whether Individual A properly constructed an
office building for Individual B. They enlist Individual C, who attempts to get them to resolve
their differences but has no power to determine the final resolution of the contract dispute.
Which type of alternative dispute resolution is this an example of?
Mediation
Arbitration
Negotiation
Reconciliation - ANSWER ✔ - Mediation
Company A threatens to sue Company B. Both sides agree to have their CEOs discuss the matter
and attempt to reach a resolution before the dispute goes to trial.
2
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,WGU C713 PA
Which type of alternative dispute resolution is reflected in this situation?
Mediation
Arbitration
Negotiation
Consultation - ANSWER ✔ - Negotiation
Two business owners agree to have their lawyers sit in a neutral site and work out a contract
dispute together rather than allowing the matter to go to trial.
Which type of alternative dispute resolution is this an example of?
Mediation
Arbitration
Negotiation
Reconciliation - ANSWER ✔ - Negotiation
Which expression describes when each state court is obligated to respect the final judgment of
courts in other states?
Full faith and credit clause
Diversity of citizenship jurisdiction
The commerce clause
Federal question jurisdiction - ANSWER ✔ - Full faith and credit clause
A citizen of California is suing a citizen of Washington based on diversity jurisdiction.
3
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, WGU C713 PA
Which court would hear this case?
Federal District Court
Court of California
Court of Washington
Court of Appeals for the Federal Circuit - ANSWER ✔ - Federal District Court
Which document currently allows the U.S. federal government to levy and collect taxes, regulate
commerce with foreign countries, and regulate interstate commerce?
The U.S. Constitution
The Declaration of Independence
The Bill of Rights
The Articles of Confederation - ANSWER ✔ - The U.S. Constitution
Company A is based in Maryland, and is selling equipment to Company B in Iowa.
What part of the U.S. Constitution allows the federal government to regulate business
practices?
The commerce clause
The Fourth Amendment
Policy power
The supremacy clause - ANSWER ✔ - The commerce clause
Which category of speech does advertising fit into?
Protected fully
4
WGU C713 PA
©®
WGU C713 PA Exam Questions And
Answers Latest Update
Two friends want to start a business. They are unsure of which business organization to create
and consider creating a C corporation.
Which characteristic element is most true of C corporations?
Day-to-day management is strictly the responsibility of the directors.
Ownership is contractually restricted and is not transferable.
Large amounts of capital can be raised through the issuance of shares.
The business is free from state regulation. - ANSWER ✔ - Large amounts of capital can be raised
through the issuance of shares.
Which type of law governs an individual's prosecution for the crime of theft?
Statutory law
Common law
Constitutional law
Administrative law - ANSWER ✔ - Statutory law
From which source do laws governing crimes primarily arise?
Civil law
Statutory law
Administrative law
Constitutional law - ANSWER ✔ - Statutory law
1
WGU C713 PA
©®
,WGU C713 PA
Which type of law provides the basis for substantive due process and equal protection?
Civil law
Criminal law
Common law
Constitutional law - ANSWER ✔ - Constitutional law
Which source of law involves government agencies that interpret and enforce new laws?
Civil law
Statutory law
Common law
Administrative law - ANSWER ✔ - Administrative law
Two individuals are involved in a dispute over whether Individual A properly constructed an
office building for Individual B. They enlist Individual C, who attempts to get them to resolve
their differences but has no power to determine the final resolution of the contract dispute.
Which type of alternative dispute resolution is this an example of?
Mediation
Arbitration
Negotiation
Reconciliation - ANSWER ✔ - Mediation
Company A threatens to sue Company B. Both sides agree to have their CEOs discuss the matter
and attempt to reach a resolution before the dispute goes to trial.
2
WGU C713 PA
©®
,WGU C713 PA
Which type of alternative dispute resolution is reflected in this situation?
Mediation
Arbitration
Negotiation
Consultation - ANSWER ✔ - Negotiation
Two business owners agree to have their lawyers sit in a neutral site and work out a contract
dispute together rather than allowing the matter to go to trial.
Which type of alternative dispute resolution is this an example of?
Mediation
Arbitration
Negotiation
Reconciliation - ANSWER ✔ - Negotiation
Which expression describes when each state court is obligated to respect the final judgment of
courts in other states?
Full faith and credit clause
Diversity of citizenship jurisdiction
The commerce clause
Federal question jurisdiction - ANSWER ✔ - Full faith and credit clause
A citizen of California is suing a citizen of Washington based on diversity jurisdiction.
3
WGU C713 PA
©®
, WGU C713 PA
Which court would hear this case?
Federal District Court
Court of California
Court of Washington
Court of Appeals for the Federal Circuit - ANSWER ✔ - Federal District Court
Which document currently allows the U.S. federal government to levy and collect taxes, regulate
commerce with foreign countries, and regulate interstate commerce?
The U.S. Constitution
The Declaration of Independence
The Bill of Rights
The Articles of Confederation - ANSWER ✔ - The U.S. Constitution
Company A is based in Maryland, and is selling equipment to Company B in Iowa.
What part of the U.S. Constitution allows the federal government to regulate business
practices?
The commerce clause
The Fourth Amendment
Policy power
The supremacy clause - ANSWER ✔ - The commerce clause
Which category of speech does advertising fit into?
Protected fully
4
WGU C713 PA
©®
