DECA Principles PIs Questions and Answers Solved Correctly Latest Update 2025-2026
(1) Comply with the spirit and intent of laws and regulations (Business Law:163)
(CareerSustaining)* - AnswersReview the laws and rules regularly; consider them in conflict and
make sure you don't go against them. Use governance, risk, and compliance technology if you
need help complying with laws related to your information systems. Have a legal department in
your company.
(2) Discuss the nature of law and sources of law in the United States (BL:067) (SPecialist) -
AnswersLaw is used to keep order in civilization. They come from the government and are
enforced by gov't officials. The judicial branch of the government interprets laws made by
Congress. There are local (municipal), state, and federal (national) laws.
(3) Describe the United States' judicial system (BL:068) (SP) - AnswersMade up of courts:
Supreme, Circuit, magistrate (local), municipal (city). Judicial branch interprets laws made by
Congress.
(4) Describe methods used to protect intellectual property (BL:051) (SP) - AnswersPatents:
government protection for inventions and types of processes for a limited time.
Trademarks: legally protect logos and other images from unauthorized compromises or uses of
it in bad ways.
Copyrights: government-provided protection for written, musical, and artistic works for a certain
period of years.
(5) Describe legal issues affecting businesses (BL:001) (SP) - AnswersDisgruntled employees,
discrimination/harassment claims, harassment in general, immigration audits (check to see if
your workers are legal), audits in general (see if your sales are actually as high as you claim),
copyright/patent issues.
(6) Identify the basic torts relating to business enterprises (BL:069) (SP) - AnswersTort: a civil
wrongdoing that causes harm to another party.
-Appropriation: when a business or person uses another person's name, likeness, or unique
characteristic without permission for the benefit or gain of the user.
-Conversion: when personal property is taken from the owner and given to someone else to use.
-Defamation: making false malicious statements about a person or organization.
-Wrongful interference: predatory behavior undertaken by a business to draw either customers
or employees away from a competitor.
(7) Describe the nature of legally binding contracts (BL:002) (SP) - AnswersContract: an
agreement between 2+ businesses where one business offers to do something in return for
,something provided by another business and the offer is accepted.
Contracts make sure an agreement between parties is written down and has consequences for
breaking the agreement so both parties stay in check. To be legally valid: (1) ALL parties must
agree about an offer made by one party and accepted by the other; (2) smt of value must be
exchanged for something else of value, including goods, cash, and services, or it has to be a
pledge to exchange these items.
(8) Describe the nature of legal procedure (BL:070) (SP) - AnswersThe rules by which a ct. hears
and determines what happens in a civil or criminal lawsuit or in administrative proceedings.
(9) Discuss the nature of debtor-creditor relationships (BL:071) (SP) - AnswersCreditor gives
money to person. Until person pays creditor back, they are debtor. Creditor can charge interest
(I=Prt), usually compounded annually, to debtor for either borrowing that amount or paying it
back late. Credit is what determines whether debtor is trustworthy enough to be lent to based
on history of paying money back. If borrower has bad credit, creditor can refuse to lend or
borrower will need a co-signer to pay back the loan in the event that he doesn't pay.
(10) Explain the nature of agency relationships (BL:072) (SP) - AnswersArea of commercial law
dealing with a set of contractual, quasi-contractual, and non-contractual fiduciary (legal/ethical,
based on trust) relationships that involve a person (agent) that is authorized to act on behalf of
another person (principal) to create legal relations with a third party.
(11) Discuss the nature of environmental law (BL:073) (SP) - AnswersLegal forum for env. and
natural resources. Usually made to protect the environment from pollution and harm by
imposing regulations on businesses that usually result in (a) less profit for that corporation, or
(b) the outsourcing of jobs to a country without as many regulations. Corporations will almost
always take the latter alternative in order to maximize profits. Big corporations can sometimes
afford to not outsource jobs, discouraging small businesses.
(12) Discuss the role of administrative law (BL:074) (SP) - AnswersBody of law that regulates
operations and procedures of gov't agencies.
(13) Explain types of business ownership (BL:003) (CS) - AnswersSole proprietorship: business
owned by one person; owner has unlimited liability (responsible for all debts); easiest set-up and
least costly form of ownership.
Partnership: 2+ owners.
-General partnership: all partners have unlimited liability.
-Limited partnership: creditors can't go after personal assets of limited partners.
,Corporation: has a separate legal personality from its owners; ownership represented by shares
of stock; stockholders have limited liability and involvement in operations; board of directors
controls activities.
Limited liability company: owners have limited liability like a corporation but the LLC is not a
corporation.
Cooperative: members control the organization and operate it for mutual benefit; incorporated
or unincorporated.
(14) Explain the nature of import/export law (BL:145) (SP) - AnswersImports: when one country
buys goods from another.
Exports: when one country sells goods to another.
Import/export laws regulate the flow of goods and services for consumer protection as well as
protectionism, revenue generation (tariffs), and environmental protection (if your factory
pollutes, we won't buy your stuff).
(15) Describe the nature of customs regulations (BL:126) (SP) - AnswersCustoms: border
control over the flow of goods.
Consumer protection is what customs regulations are for. You can't just import cocaine, for ex.
Customs wants to make sure only safe, legal products are imported.
(16) Identify sources that provide relevant, valid written material (COmmunication skills:054)
(PrereQuisite) - AnswersKnow which sources are credible. Personal blogs or sites should be
cross-referenced with other sites. Identify publishers that are well-known -- know who the author
is (ex. Wikipedia is not reliable while a uni site is).
(17) Extract relevant information from written materials (CO:055) (PQ) - AnswersIdentify info
with key words or their synonyms in the sentence from the whole source; know if the info is
opinion or biased. Find main ideas and write them down. Record the big picture, not little details,
unless you're specifically looking for those details.
(18) Apply written directions to achieve tasks (CO:056) (PQ) - AnswersKnow to be flexible when
using written directions because the situation won't always be exactly the same. Be adaptable
, when using written directions and understand what the general idea is so you can apply them to
your situation.
(19) Analyze company resources to ascertain policies and procedures (CO:057) (CS) -
AnswersAsk your HR person during employee orientation, review the employee handbook, ask
your supervisor during your first job interview or during your first day in office, consult
trustworthy coworkers or HR.
(20) Explain communication techniques that support and encourage a speaker (CO:082) (PQ) -
AnswersListen so they feel appreciated enough to give contribution, give polite constructive
criticisms and tell the part they did well, give small nonverbal responses such as nodding and
eye contact, smile so they don't feel nervous. If the person is public speaking for a crowd at a
convention or smt, clap when they get on stage.
(21) Follow oral directions (CO:119) (PQ) - AnswersTry to take notes when you first receive the
directions if possible. If you're unsure, ask the direction giver once they finish. Remember key
steps and apply them to your situation.
(22) Demonstrate active listening skills (CO:017) (PQ) - AnswersAlways maintain eye contact,
show that you understood by nodding your head, smile, ask to repeat anything you didn't
understand.
(23) Explain the nature of effective verbal communications (CO:147) (PQ) - AnswersConvey
information concisely in an understandable way.
(24) Ask relevant questions (CO:058) (PQ) - AnswersUse key words that are important to what
you need to know and be direct so they understand what to answer, listen beforehand so they're
not repeating too much, know when to ask such as when they pause or ask if you have
questions, don't go off topic. Some questions really are stupid but if it's vital to your task ask
them anyway.
(25) Interpret others' nonverbal cues (CO:059) (PQ) - AnswersExamine someone's body
language and facial expression. Clenched fists or crossed arms can indicate irritation or anger.
Smiling and relaxed shoulders or a higher pitched voice show happiness. If they're confused or
uncomfortable, they could be frowning and standing awkwardly. Their eyes will droop a little and
they'll frown if they're sad.
(26) Provide legitimate responses to inquiries (CO:060) (PQ) - AnswersBe clear to prevent
miscommunications, actually understand the inquiry and its motives before answering, answer
using facts and to the best of your ability, consult coworkers or supervisors if you need help.
(27) Give verbal directions (CO:083) (PQ) - AnswersBe concise to be sure they remember, put
emphasis on important words and phrases, be articulate and direct (eye contact), ask if they
understand and if they have any questions.
(1) Comply with the spirit and intent of laws and regulations (Business Law:163)
(CareerSustaining)* - AnswersReview the laws and rules regularly; consider them in conflict and
make sure you don't go against them. Use governance, risk, and compliance technology if you
need help complying with laws related to your information systems. Have a legal department in
your company.
(2) Discuss the nature of law and sources of law in the United States (BL:067) (SPecialist) -
AnswersLaw is used to keep order in civilization. They come from the government and are
enforced by gov't officials. The judicial branch of the government interprets laws made by
Congress. There are local (municipal), state, and federal (national) laws.
(3) Describe the United States' judicial system (BL:068) (SP) - AnswersMade up of courts:
Supreme, Circuit, magistrate (local), municipal (city). Judicial branch interprets laws made by
Congress.
(4) Describe methods used to protect intellectual property (BL:051) (SP) - AnswersPatents:
government protection for inventions and types of processes for a limited time.
Trademarks: legally protect logos and other images from unauthorized compromises or uses of
it in bad ways.
Copyrights: government-provided protection for written, musical, and artistic works for a certain
period of years.
(5) Describe legal issues affecting businesses (BL:001) (SP) - AnswersDisgruntled employees,
discrimination/harassment claims, harassment in general, immigration audits (check to see if
your workers are legal), audits in general (see if your sales are actually as high as you claim),
copyright/patent issues.
(6) Identify the basic torts relating to business enterprises (BL:069) (SP) - AnswersTort: a civil
wrongdoing that causes harm to another party.
-Appropriation: when a business or person uses another person's name, likeness, or unique
characteristic without permission for the benefit or gain of the user.
-Conversion: when personal property is taken from the owner and given to someone else to use.
-Defamation: making false malicious statements about a person or organization.
-Wrongful interference: predatory behavior undertaken by a business to draw either customers
or employees away from a competitor.
(7) Describe the nature of legally binding contracts (BL:002) (SP) - AnswersContract: an
agreement between 2+ businesses where one business offers to do something in return for
,something provided by another business and the offer is accepted.
Contracts make sure an agreement between parties is written down and has consequences for
breaking the agreement so both parties stay in check. To be legally valid: (1) ALL parties must
agree about an offer made by one party and accepted by the other; (2) smt of value must be
exchanged for something else of value, including goods, cash, and services, or it has to be a
pledge to exchange these items.
(8) Describe the nature of legal procedure (BL:070) (SP) - AnswersThe rules by which a ct. hears
and determines what happens in a civil or criminal lawsuit or in administrative proceedings.
(9) Discuss the nature of debtor-creditor relationships (BL:071) (SP) - AnswersCreditor gives
money to person. Until person pays creditor back, they are debtor. Creditor can charge interest
(I=Prt), usually compounded annually, to debtor for either borrowing that amount or paying it
back late. Credit is what determines whether debtor is trustworthy enough to be lent to based
on history of paying money back. If borrower has bad credit, creditor can refuse to lend or
borrower will need a co-signer to pay back the loan in the event that he doesn't pay.
(10) Explain the nature of agency relationships (BL:072) (SP) - AnswersArea of commercial law
dealing with a set of contractual, quasi-contractual, and non-contractual fiduciary (legal/ethical,
based on trust) relationships that involve a person (agent) that is authorized to act on behalf of
another person (principal) to create legal relations with a third party.
(11) Discuss the nature of environmental law (BL:073) (SP) - AnswersLegal forum for env. and
natural resources. Usually made to protect the environment from pollution and harm by
imposing regulations on businesses that usually result in (a) less profit for that corporation, or
(b) the outsourcing of jobs to a country without as many regulations. Corporations will almost
always take the latter alternative in order to maximize profits. Big corporations can sometimes
afford to not outsource jobs, discouraging small businesses.
(12) Discuss the role of administrative law (BL:074) (SP) - AnswersBody of law that regulates
operations and procedures of gov't agencies.
(13) Explain types of business ownership (BL:003) (CS) - AnswersSole proprietorship: business
owned by one person; owner has unlimited liability (responsible for all debts); easiest set-up and
least costly form of ownership.
Partnership: 2+ owners.
-General partnership: all partners have unlimited liability.
-Limited partnership: creditors can't go after personal assets of limited partners.
,Corporation: has a separate legal personality from its owners; ownership represented by shares
of stock; stockholders have limited liability and involvement in operations; board of directors
controls activities.
Limited liability company: owners have limited liability like a corporation but the LLC is not a
corporation.
Cooperative: members control the organization and operate it for mutual benefit; incorporated
or unincorporated.
(14) Explain the nature of import/export law (BL:145) (SP) - AnswersImports: when one country
buys goods from another.
Exports: when one country sells goods to another.
Import/export laws regulate the flow of goods and services for consumer protection as well as
protectionism, revenue generation (tariffs), and environmental protection (if your factory
pollutes, we won't buy your stuff).
(15) Describe the nature of customs regulations (BL:126) (SP) - AnswersCustoms: border
control over the flow of goods.
Consumer protection is what customs regulations are for. You can't just import cocaine, for ex.
Customs wants to make sure only safe, legal products are imported.
(16) Identify sources that provide relevant, valid written material (COmmunication skills:054)
(PrereQuisite) - AnswersKnow which sources are credible. Personal blogs or sites should be
cross-referenced with other sites. Identify publishers that are well-known -- know who the author
is (ex. Wikipedia is not reliable while a uni site is).
(17) Extract relevant information from written materials (CO:055) (PQ) - AnswersIdentify info
with key words or their synonyms in the sentence from the whole source; know if the info is
opinion or biased. Find main ideas and write them down. Record the big picture, not little details,
unless you're specifically looking for those details.
(18) Apply written directions to achieve tasks (CO:056) (PQ) - AnswersKnow to be flexible when
using written directions because the situation won't always be exactly the same. Be adaptable
, when using written directions and understand what the general idea is so you can apply them to
your situation.
(19) Analyze company resources to ascertain policies and procedures (CO:057) (CS) -
AnswersAsk your HR person during employee orientation, review the employee handbook, ask
your supervisor during your first job interview or during your first day in office, consult
trustworthy coworkers or HR.
(20) Explain communication techniques that support and encourage a speaker (CO:082) (PQ) -
AnswersListen so they feel appreciated enough to give contribution, give polite constructive
criticisms and tell the part they did well, give small nonverbal responses such as nodding and
eye contact, smile so they don't feel nervous. If the person is public speaking for a crowd at a
convention or smt, clap when they get on stage.
(21) Follow oral directions (CO:119) (PQ) - AnswersTry to take notes when you first receive the
directions if possible. If you're unsure, ask the direction giver once they finish. Remember key
steps and apply them to your situation.
(22) Demonstrate active listening skills (CO:017) (PQ) - AnswersAlways maintain eye contact,
show that you understood by nodding your head, smile, ask to repeat anything you didn't
understand.
(23) Explain the nature of effective verbal communications (CO:147) (PQ) - AnswersConvey
information concisely in an understandable way.
(24) Ask relevant questions (CO:058) (PQ) - AnswersUse key words that are important to what
you need to know and be direct so they understand what to answer, listen beforehand so they're
not repeating too much, know when to ask such as when they pause or ask if you have
questions, don't go off topic. Some questions really are stupid but if it's vital to your task ask
them anyway.
(25) Interpret others' nonverbal cues (CO:059) (PQ) - AnswersExamine someone's body
language and facial expression. Clenched fists or crossed arms can indicate irritation or anger.
Smiling and relaxed shoulders or a higher pitched voice show happiness. If they're confused or
uncomfortable, they could be frowning and standing awkwardly. Their eyes will droop a little and
they'll frown if they're sad.
(26) Provide legitimate responses to inquiries (CO:060) (PQ) - AnswersBe clear to prevent
miscommunications, actually understand the inquiry and its motives before answering, answer
using facts and to the best of your ability, consult coworkers or supervisors if you need help.
(27) Give verbal directions (CO:083) (PQ) - AnswersBe concise to be sure they remember, put
emphasis on important words and phrases, be articulate and direct (eye contact), ask if they
understand and if they have any questions.
