COMM 191 ACTUAL TEST PAPER
COMPLETE QUESTIONS AND ANSWERS
FULL SOLUTION
●● Sherman Antitrust Act
Answer: 1890, A law that made it illegal to create monopolies or trusts
that restrained free trade
●● Clayton Antitrust Act
Answer: This act was enacted in 1914, and it reinforces and broadens the
provisions of the Sherman Act. Among its prohibitions are certain
exclusive contracts, predatory price cutting to eliminate competitors, and
inter-related boards of directors and stock holdings between same-
industry corporations
●● Wheeler-Lea Act
Answer: 1938, Made unfair and deceptive advertising practices illegal
and put FTC over food and drug promotion
●● Robinson Patman Act
Answer: Passed in 1936, it aims to prevent businesses from selling the
same product to different people at different prices (price
discrimination); this act strengthened the Clayton Act
,●● Food and Drug Administration (FDA)
Answer: Federal agency formed in 1913 that approves all food, drugs,
and cosmetics for sale in the US.
●● Consumer Product Safety Commission (CPSC)
Answer: 1972, oversees the safety of products such as toys, electronics,
and household furniture
●● Equal Employment Opportunity Commission (EEOC)
Answer: 1964, ensures that employers do not discriminate against
employees because of age, race, color or national origin, religion,
gender, or physical challenge.
●● Occupational Safety and Health Administration (OSHA)
Answer: 1970, regulates the workplace environment; ensures that
workplaces are safe and healthful for employees
●● Securities and Exchange Commission (SEC)
Answer: 1934 - regulates the stock markets
●● Environmental Protection Agency (EPA)
Answer: a federal agency established in 1970 for the regulation of water
and air pollution, toxic waste, pesticides, and radiation
,●● Better Business Bureau (BBB)
Answer: One of the oldest nonprofit organizations that establishes self-
regulation among businesses.
●● Americans with Disabilities Act (ADA)
Answer: 1992, Protects rights of disabled individuals in employment and
public accommodation; requires reasonable accommodation that enable
disabled persons to work with dignity
●● Federal Communications Commission (FCC)
Answer: a government agency created in 1934 to regulate American
radio stations, and later expanded to regulate television, wireless
communications technologies, and other broadcast media.
●● Unfair Trade Practices Law
Answer: prevents large companies with market power from selling
products at very low prices to drive out their competition.
●● Family Medical Leave Act
Answer: 1993; Requires employers with 50 or more workers to grant up
to 12 weeks of unpaid leave a year to allow workers to take time off to
help care for a new baby or an ill family member without fear of losing
their jobs.
, ●● Fair Labor Standards Act
Answer: 1938 act which provided for a minimum wage and restricted
shipments of goods produced with child labor
●● Fair Credit Reporting Act
Answer: 1970, A federal law that established procedures that consumer-
reporting agencies must follow in order to ensure that records are
confidential, accurate, relevant and properly used.
●● Fair Credit Billing Act
Answer: 1975, protect consumers from unfair billing practices and to
provide a mechanism for addressing billing errors
●● Truth in Lending Act/ Consumer Credit Protection Act
Answer: requires sellers and lenders to disclose credit terms or loan
terms so that individuals can shop around for the best financing
arrangements
●● Equal Credit Opportunity Act
Answer: prohibits creditors from denying credit based on gender, age,
race, national origin, religion, or marital status; the credit application can
be judged only on the basis of financial responsibility
●● Credit Repair Organizations Act
COMPLETE QUESTIONS AND ANSWERS
FULL SOLUTION
●● Sherman Antitrust Act
Answer: 1890, A law that made it illegal to create monopolies or trusts
that restrained free trade
●● Clayton Antitrust Act
Answer: This act was enacted in 1914, and it reinforces and broadens the
provisions of the Sherman Act. Among its prohibitions are certain
exclusive contracts, predatory price cutting to eliminate competitors, and
inter-related boards of directors and stock holdings between same-
industry corporations
●● Wheeler-Lea Act
Answer: 1938, Made unfair and deceptive advertising practices illegal
and put FTC over food and drug promotion
●● Robinson Patman Act
Answer: Passed in 1936, it aims to prevent businesses from selling the
same product to different people at different prices (price
discrimination); this act strengthened the Clayton Act
,●● Food and Drug Administration (FDA)
Answer: Federal agency formed in 1913 that approves all food, drugs,
and cosmetics for sale in the US.
●● Consumer Product Safety Commission (CPSC)
Answer: 1972, oversees the safety of products such as toys, electronics,
and household furniture
●● Equal Employment Opportunity Commission (EEOC)
Answer: 1964, ensures that employers do not discriminate against
employees because of age, race, color or national origin, religion,
gender, or physical challenge.
●● Occupational Safety and Health Administration (OSHA)
Answer: 1970, regulates the workplace environment; ensures that
workplaces are safe and healthful for employees
●● Securities and Exchange Commission (SEC)
Answer: 1934 - regulates the stock markets
●● Environmental Protection Agency (EPA)
Answer: a federal agency established in 1970 for the regulation of water
and air pollution, toxic waste, pesticides, and radiation
,●● Better Business Bureau (BBB)
Answer: One of the oldest nonprofit organizations that establishes self-
regulation among businesses.
●● Americans with Disabilities Act (ADA)
Answer: 1992, Protects rights of disabled individuals in employment and
public accommodation; requires reasonable accommodation that enable
disabled persons to work with dignity
●● Federal Communications Commission (FCC)
Answer: a government agency created in 1934 to regulate American
radio stations, and later expanded to regulate television, wireless
communications technologies, and other broadcast media.
●● Unfair Trade Practices Law
Answer: prevents large companies with market power from selling
products at very low prices to drive out their competition.
●● Family Medical Leave Act
Answer: 1993; Requires employers with 50 or more workers to grant up
to 12 weeks of unpaid leave a year to allow workers to take time off to
help care for a new baby or an ill family member without fear of losing
their jobs.
, ●● Fair Labor Standards Act
Answer: 1938 act which provided for a minimum wage and restricted
shipments of goods produced with child labor
●● Fair Credit Reporting Act
Answer: 1970, A federal law that established procedures that consumer-
reporting agencies must follow in order to ensure that records are
confidential, accurate, relevant and properly used.
●● Fair Credit Billing Act
Answer: 1975, protect consumers from unfair billing practices and to
provide a mechanism for addressing billing errors
●● Truth in Lending Act/ Consumer Credit Protection Act
Answer: requires sellers and lenders to disclose credit terms or loan
terms so that individuals can shop around for the best financing
arrangements
●● Equal Credit Opportunity Act
Answer: prohibits creditors from denying credit based on gender, age,
race, national origin, religion, or marital status; the credit application can
be judged only on the basis of financial responsibility
●● Credit Repair Organizations Act
