WORLD OF BUSINESS EXAM PREP
QUESTIONS AND ANSWERS FULL TEST
PAPER ACCURACY CHECKED
◉ express warranty
Answer: stipulates the specific terms the seller will honor
◉ implied warranty
Answer: imposed on the producer or seller by law, although it
may not be a written document provided at the time of sale
◉ tort
Answer: a private or civil wrong other than breach of contract
◉ fraud
Answer: a purposefully unlawful act to deceive or manipulate in
order to damage others
◉ product liability
Answer: businesses' legal responsibility for any negligence in the
design, production, sale, and consumption of products
◉ contract
, Answer: a mutual agreement between two or more parties that
can be enforced in a court if one party chooses not to comply with
the terms of the contract
◉ elements
Answer: only those contracts that meet certain requirements, are
enforceable by the courts
◉ voluntary agreement
Answer: typically comes about when one party makes an offer and
the other accepts. If both the offer and acceptance are freely,
voluntarily, and knowingly made, the acceptance forms the basis
for the contract
◉ consideration
Answer: that is, money or something of value must be given in
return for fulfilling a contract
◉ contractual capacity
Answer: is the legal ability to enter into a contract
◉ legality
Answer: is the state or condition of being lawful
◉ breach of contract
QUESTIONS AND ANSWERS FULL TEST
PAPER ACCURACY CHECKED
◉ express warranty
Answer: stipulates the specific terms the seller will honor
◉ implied warranty
Answer: imposed on the producer or seller by law, although it
may not be a written document provided at the time of sale
◉ tort
Answer: a private or civil wrong other than breach of contract
◉ fraud
Answer: a purposefully unlawful act to deceive or manipulate in
order to damage others
◉ product liability
Answer: businesses' legal responsibility for any negligence in the
design, production, sale, and consumption of products
◉ contract
, Answer: a mutual agreement between two or more parties that
can be enforced in a court if one party chooses not to comply with
the terms of the contract
◉ elements
Answer: only those contracts that meet certain requirements, are
enforceable by the courts
◉ voluntary agreement
Answer: typically comes about when one party makes an offer and
the other accepts. If both the offer and acceptance are freely,
voluntarily, and knowingly made, the acceptance forms the basis
for the contract
◉ consideration
Answer: that is, money or something of value must be given in
return for fulfilling a contract
◉ contractual capacity
Answer: is the legal ability to enter into a contract
◉ legality
Answer: is the state or condition of being lawful
◉ breach of contract
