WGU D216 Business Law for Accountants |OA|
Objective Assessment | Actual Questions and
Answers Latest Updated 2026/2027 (Graded
A+)PDF
executive agencies
An administrative agency within the executive branch of government. At the
federal level, executive agencies are those within the cabinet departments.
federal form of government
A system of government in which the states form a union and the sovereign
power is divided between a central government and the member states.
Fifth Amendment
Guarantees the rights to indictment (formal accusation) by a grand jury, to due
process of law, and to fair payment when private property is taken for public use.
The Fifth Amendment also prohibits compulsory self-incrimination and double
jeopardy (trial for the same crime twice).
Financial Services Modernization Act (Gramm-Leach-Bliley Act) (1999)
Prohibits the disclosure of nonpublic personal information about a consumer to
an unaffiliated third party unless strict disclosure and opt-out requirements are
met.
First Amendment
Guarantees the freedoms of religion, speech, and the press and the rights to
assemble peaceably and to petition the government.
Four-Part Analysis
,When making decisions, a business should evaluate each of the following: The
legal implications of each decision. The public relations impact. The safety risks
for the consumers and employees. The financial implications.
Fourth Amendment
Prohibits unreasonable searches and seizures of persons or property.
free exercise clause
The provision in the First Amendment to the U.S. Constitution that prohibits
Congress from making any law "prohibiting the free exercise" of religion.
Freedom of Information Act (1966)
Provides that individuals have a right to obtain access to information about them
collected in government files.
full faith and credit clause
A clause in Article IV, Section 1, of the U.S. Constitution that provides that "Full
Faith and Credit shall be given in each State to the public Acts, Records, and
Judicial Proceedings of every other State." The clause ensures that rights
established under deeds, wills, contracts, and the like in one state will be
honored by the other states and that any judicial decision with respect to such
property rights will be honored and enforced in all states.
Health Insurance Portability and Accountability Act (1996)
Requires health-care providers and health-care plans to inform patients of their
privacy rights and of how their personal medical information may be used.
States that medical records may not be used for purposes unrelated to health
care or disclosed without permission.
independent regulatory agencies
An administrative agency that is not considered part of the government's
executive branch and is not subject to the authority of the president.
Independent agency officials cannot be removed without cause.
,IRAC
method of legal reasoning. IRAC is an acronym formed from the first letters of
the words Issue, Rule, Application, and Conclusion.
laches
The equitable doctrine that bars a party's right to legal action if the party has
neglected for an unreasonable length of time to act on his or her rights.
legal reasoning
(1) The process of evaluating how various laws apply to a given situation. (2)
The process by which a judge harmonizes his or her opinion with the judicial
decisions in previous cases.
majority opinion
A court opinion that represents the views of the majority (more than half) of the
judges or justices deciding the case.
moral minimum
The minimum degree of ethical behavior expected of a business firm, which is
usually defined as compliance with the law.
Ninth Amendment
Establishes that the people have rights in addition to those specified in the
Constitution.
opinions
A statement by a court expressing the reasons for its decision in a case.
ordinances
A law passed by a local governing unit, such as a city or a county.
Outcome-based ethics
, An ethical philosophy that focuses on the impacts of a decision on society or on
key stakeholders.
persuasive authorities
Any legal authority or source of law that a court may look to for guidance but
need not follow when making its decision.
petitioner
In equity practice, a party that initiates a lawsuit.
plaintiff
A party that initiates a lawsuit.
plurality opinion
A court opinion that is joined by the largest number of the judges or justices
hearing the case, but fewer than half of the total number.
police powers
Powers possessed by states as part of their inherent sovereignty. These powers
may be exercised to protect or promote the public order, health, safety, morals,
and general welfare.
precedent
A court decision that furnishes an example or authority for deciding subsequent
cases involving identical or similar facts.
preemption
A doctrine under which certain federal laws preempt, or take precedence over,
conflicting state or local laws.
principle of rights
The principle that human beings have certain fundamental rights (to life,
freedom, and the pursuit of happiness, for example). A key factor in determining
whether a business decision is ethical under this theory is how that decision
Objective Assessment | Actual Questions and
Answers Latest Updated 2026/2027 (Graded
A+)PDF
executive agencies
An administrative agency within the executive branch of government. At the
federal level, executive agencies are those within the cabinet departments.
federal form of government
A system of government in which the states form a union and the sovereign
power is divided between a central government and the member states.
Fifth Amendment
Guarantees the rights to indictment (formal accusation) by a grand jury, to due
process of law, and to fair payment when private property is taken for public use.
The Fifth Amendment also prohibits compulsory self-incrimination and double
jeopardy (trial for the same crime twice).
Financial Services Modernization Act (Gramm-Leach-Bliley Act) (1999)
Prohibits the disclosure of nonpublic personal information about a consumer to
an unaffiliated third party unless strict disclosure and opt-out requirements are
met.
First Amendment
Guarantees the freedoms of religion, speech, and the press and the rights to
assemble peaceably and to petition the government.
Four-Part Analysis
,When making decisions, a business should evaluate each of the following: The
legal implications of each decision. The public relations impact. The safety risks
for the consumers and employees. The financial implications.
Fourth Amendment
Prohibits unreasonable searches and seizures of persons or property.
free exercise clause
The provision in the First Amendment to the U.S. Constitution that prohibits
Congress from making any law "prohibiting the free exercise" of religion.
Freedom of Information Act (1966)
Provides that individuals have a right to obtain access to information about them
collected in government files.
full faith and credit clause
A clause in Article IV, Section 1, of the U.S. Constitution that provides that "Full
Faith and Credit shall be given in each State to the public Acts, Records, and
Judicial Proceedings of every other State." The clause ensures that rights
established under deeds, wills, contracts, and the like in one state will be
honored by the other states and that any judicial decision with respect to such
property rights will be honored and enforced in all states.
Health Insurance Portability and Accountability Act (1996)
Requires health-care providers and health-care plans to inform patients of their
privacy rights and of how their personal medical information may be used.
States that medical records may not be used for purposes unrelated to health
care or disclosed without permission.
independent regulatory agencies
An administrative agency that is not considered part of the government's
executive branch and is not subject to the authority of the president.
Independent agency officials cannot be removed without cause.
,IRAC
method of legal reasoning. IRAC is an acronym formed from the first letters of
the words Issue, Rule, Application, and Conclusion.
laches
The equitable doctrine that bars a party's right to legal action if the party has
neglected for an unreasonable length of time to act on his or her rights.
legal reasoning
(1) The process of evaluating how various laws apply to a given situation. (2)
The process by which a judge harmonizes his or her opinion with the judicial
decisions in previous cases.
majority opinion
A court opinion that represents the views of the majority (more than half) of the
judges or justices deciding the case.
moral minimum
The minimum degree of ethical behavior expected of a business firm, which is
usually defined as compliance with the law.
Ninth Amendment
Establishes that the people have rights in addition to those specified in the
Constitution.
opinions
A statement by a court expressing the reasons for its decision in a case.
ordinances
A law passed by a local governing unit, such as a city or a county.
Outcome-based ethics
, An ethical philosophy that focuses on the impacts of a decision on society or on
key stakeholders.
persuasive authorities
Any legal authority or source of law that a court may look to for guidance but
need not follow when making its decision.
petitioner
In equity practice, a party that initiates a lawsuit.
plaintiff
A party that initiates a lawsuit.
plurality opinion
A court opinion that is joined by the largest number of the judges or justices
hearing the case, but fewer than half of the total number.
police powers
Powers possessed by states as part of their inherent sovereignty. These powers
may be exercised to protect or promote the public order, health, safety, morals,
and general welfare.
precedent
A court decision that furnishes an example or authority for deciding subsequent
cases involving identical or similar facts.
preemption
A doctrine under which certain federal laws preempt, or take precedence over,
conflicting state or local laws.
principle of rights
The principle that human beings have certain fundamental rights (to life,
freedom, and the pursuit of happiness, for example). A key factor in determining
whether a business decision is ethical under this theory is how that decision
