MGT 200 2026/2027 Exam 1 Study Guide
with Verified Practice Questions and
Answers
Which of the following is the most common form of commercial speech?
a. Spending
b. Advertising of product or service
c. Political advertising
d. Television interviews
e. Legal cases - Answer✔️b. Advertising of product or service
IRS representatives visit BigCo's headquarters, explain to the manager that BigCo
is under investigation, and demand that the manager permit them to search the
premises. Which of following restricts the IRS's conduct?
a. Eighth Amendment
b. Sixth Amendment
c. Fifth Amendment
d. Fourth Amendment
e. First Amendment - Answer✔️d. Fourth Amendment
Which of the following are not primary roles of the judiciary?
I. Set policy
II. Adjudicate disputes
III. Establish jurisdiction
IV. Judicial review
a. I, II, and III
b. I, II, and IV
c. II and III
d. II and IV
e. I and III - Answer✔️e. I and III
Which of the following are courts of authority (set precedent)?
I. U.S. court of appeals
,II. U.S. district court
III. State appellate court
a. II and III
b. I, II, and III
c. I only
d. I and II
e. I and III - Answer✔️e. I and III
The U.S. Supreme Court, when there are no vacancies, is composed of _____
justices.
a. 7
b. 9
c. 8
d. 10
e. 6 - Answer✔️b. 9
The U.S. legal system is structured around federal and state courts that have what
two primary roles?
I. Set policy
II. Establish jurisdiction
III. Adjudicate disputes
IV. Judicial review
a. I and II
b. III and IV
c. II and IV
d. I and IV
e. I and III - Answer✔️b. III and IV
State courts are concerned primarily with _______.
a. set policy
b. U.S. constitutional law
c. bankruptcy issues
d. national issues
e. state statutes and common law - Answer✔️e. state statutes and common law
,Precedent may be set by which of the following courts?
I. U.S. district court
II. State appellate court
III. U.S. Supreme Court
a. I and II
b. I, II, and III
c. III only
d. II and III
e. I and III - Answer✔️d. II and III
The U.S. Supreme Court accepts cases when the federal appellate courts disagree
on an issue of law. This is known as a ________.
a. federal conflict
b. judicial review conflict
c. conflict among the states
d. conflict among the circuits
e. jurisdictional conflict - Answer✔️d. conflict among the circuits
The U.S. Supreme Court accepts approximately ______ percent of the cases filed
with the court each year.
a. 50
b. 1
c. 10
d. 15
e. .001 - Answer✔️b. 1
A federal trial court has issued a ruling. That ruling applies to which of the
following?
a. Retroactively to previous parties and all parties in the future cases
b. To the parties in the case, but only for a period of 10 years
c. To the parties in the case, but no one else
d. Retroactively to previous parties
e. To the parties in the case and all parties in future in that state - Answer✔️c. To
the parties in the case, but no one else
, A state trial court has issued a ruling. That ruling applies ___________________.
a. to the parties in the case and all parties in the future in that state
b. to the parties in the case but no one else
c. retroactively to previous parties
d. for a period of one year
e. retroactively to previous parties and all parties in the future cases - Answer✔️b.
to the parties in the case but no one else
Subject matter jurisdiction is a court's authority over the _____ in a case.
a. dispute
b. subject
c. parties
d. procedure
e. diversity - Answer✔️a. dispute
Personal jurisdiction is a court's authority over the _____ in a case.
a. subject
b. diversity
c. parties
d. procedure
e. dispute - Answer✔️c. parties
Federal jurisdiction standards were originally set out in the:
a. state common law.
b. U.S. Constitution.
c. federal statutes.
d. restatements of jurisdiction.
e. ballot initiatives. - Answer✔️b. U.S. Constitution.
Guitar Industries, based in Montana, enters into a contract with Rock Band, based
in New York City, to custom-build 20 new guitars at a price of $10,000 each. Rock
Band destroys the new guitars in its first concert, but refuses to pay Guitar
Industries, claiming the guitars were defective. Guitar Industries files suit in a
federal court in New York. The court has subject matter jurisdiction because:
I. diversity of citizenship exists.
with Verified Practice Questions and
Answers
Which of the following is the most common form of commercial speech?
a. Spending
b. Advertising of product or service
c. Political advertising
d. Television interviews
e. Legal cases - Answer✔️b. Advertising of product or service
IRS representatives visit BigCo's headquarters, explain to the manager that BigCo
is under investigation, and demand that the manager permit them to search the
premises. Which of following restricts the IRS's conduct?
a. Eighth Amendment
b. Sixth Amendment
c. Fifth Amendment
d. Fourth Amendment
e. First Amendment - Answer✔️d. Fourth Amendment
Which of the following are not primary roles of the judiciary?
I. Set policy
II. Adjudicate disputes
III. Establish jurisdiction
IV. Judicial review
a. I, II, and III
b. I, II, and IV
c. II and III
d. II and IV
e. I and III - Answer✔️e. I and III
Which of the following are courts of authority (set precedent)?
I. U.S. court of appeals
,II. U.S. district court
III. State appellate court
a. II and III
b. I, II, and III
c. I only
d. I and II
e. I and III - Answer✔️e. I and III
The U.S. Supreme Court, when there are no vacancies, is composed of _____
justices.
a. 7
b. 9
c. 8
d. 10
e. 6 - Answer✔️b. 9
The U.S. legal system is structured around federal and state courts that have what
two primary roles?
I. Set policy
II. Establish jurisdiction
III. Adjudicate disputes
IV. Judicial review
a. I and II
b. III and IV
c. II and IV
d. I and IV
e. I and III - Answer✔️b. III and IV
State courts are concerned primarily with _______.
a. set policy
b. U.S. constitutional law
c. bankruptcy issues
d. national issues
e. state statutes and common law - Answer✔️e. state statutes and common law
,Precedent may be set by which of the following courts?
I. U.S. district court
II. State appellate court
III. U.S. Supreme Court
a. I and II
b. I, II, and III
c. III only
d. II and III
e. I and III - Answer✔️d. II and III
The U.S. Supreme Court accepts cases when the federal appellate courts disagree
on an issue of law. This is known as a ________.
a. federal conflict
b. judicial review conflict
c. conflict among the states
d. conflict among the circuits
e. jurisdictional conflict - Answer✔️d. conflict among the circuits
The U.S. Supreme Court accepts approximately ______ percent of the cases filed
with the court each year.
a. 50
b. 1
c. 10
d. 15
e. .001 - Answer✔️b. 1
A federal trial court has issued a ruling. That ruling applies to which of the
following?
a. Retroactively to previous parties and all parties in the future cases
b. To the parties in the case, but only for a period of 10 years
c. To the parties in the case, but no one else
d. Retroactively to previous parties
e. To the parties in the case and all parties in future in that state - Answer✔️c. To
the parties in the case, but no one else
, A state trial court has issued a ruling. That ruling applies ___________________.
a. to the parties in the case and all parties in the future in that state
b. to the parties in the case but no one else
c. retroactively to previous parties
d. for a period of one year
e. retroactively to previous parties and all parties in the future cases - Answer✔️b.
to the parties in the case but no one else
Subject matter jurisdiction is a court's authority over the _____ in a case.
a. dispute
b. subject
c. parties
d. procedure
e. diversity - Answer✔️a. dispute
Personal jurisdiction is a court's authority over the _____ in a case.
a. subject
b. diversity
c. parties
d. procedure
e. dispute - Answer✔️c. parties
Federal jurisdiction standards were originally set out in the:
a. state common law.
b. U.S. Constitution.
c. federal statutes.
d. restatements of jurisdiction.
e. ballot initiatives. - Answer✔️b. U.S. Constitution.
Guitar Industries, based in Montana, enters into a contract with Rock Band, based
in New York City, to custom-build 20 new guitars at a price of $10,000 each. Rock
Band destroys the new guitars in its first concert, but refuses to pay Guitar
Industries, claiming the guitars were defective. Guitar Industries files suit in a
federal court in New York. The court has subject matter jurisdiction because:
I. diversity of citizenship exists.
