Business Law 期末考试 From Renowned Educators
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1. What is the primary benefit of contract law to business?
a. Contract law allows businesses to transfer risk.
b. Once a contract is created, it permits both parties to rely on the terms they have
negotiated and plan their business affairs accordingly.
c. Contract law guarantees that others will follow through with their promises.
d. It ensures that businesses treat each other as equals and do not take advantage of one
another in business relationships. - CORRECT ANSWER- -B
2. Which statement best explains the requirement that "contracts must be supported by
mutual consideration"?
a. There must always be at least two parties to a contract.
b. Contracts require that the parties treat each other fairly.
c. A contract involves a bargain or exchange between the parties.
d. Contracts must be in writing to be enforceable. - CORRECT ANSWER- -C
3. With respect to what the terms contained in a negotiated formal contract should
ultimately be representative of, each parties' reasonable expectations will most likely be
founded on which of the following?
a. that all of the parties to the contract have legal capacity to contract
b. the time period within which all obligations must be performed
c. that there has been a formal intention to create legal relations
,d. the binding commitments that form the essence of the contract - CORRECT ANSWER- -
D
4. When resolving contractual conflicts, what laws do the courts usually apply?
a. the Contracts Act
b. the Sale of Goods Act
c. all decisions based on principles of fairness and equity
d. common law and occasionally statutory law - CORRECT ANSWER- -D
5. With respect to the relationship that exists between contractual parties, what is meant
by the phrase "meeting of the minds"?
a. There is an agreement between two or more persons.
b. The legal cornerstone of the commercial operation has been formed.
c. There is an informing idea behind the contractual relationship.
d. There is agreement upon the intrinsic responsibilities owed to each other. - CORRECT
ANSWER- -D
6. Two accomplished software developers want to combine their talents on a lucrative
project offered by a large document storage firm. The developers will have their agreed
roles and responsibilities incorporated into a formal contract to be prepared by their
respective lawyers. Which of the following is a valid representation of the legal significance
of the relationship between the parties that will be evidenced by the contract?
a. Each party will get exactly what it bargained for.
b. There has been a deliberate meeting of the minds.
c. Some of the parties to a contract can be sued under it.
d. No element of coercion exists between the contracting parties. - CORRECT ANSWER- -B
, 7. Which of the following is a good reason to use a contract as opposed to having a casual
understanding?
a. Casual understandings require lengthy negotiations and time to perform.
b. All contracts typically involve arrangements that are unlikely to be repeated.
c. Casual understandings are casually conducted and completed instantly.
d. All contracts are subject to the same set of compulsory legal rules. - CORRECT
ANSWER- -D
8. Matt purchases a car for his son from an auto dealership. A week later, his son discovers
a defect that renders the car unsafe. The defect is one that a court would consider to be a
breach of contract. What legal recourse is available to remedy this problem?
a. The court's resistance to imposing ethical business standards leaves no recourse.
b. Matt may commence a lawsuit against the dealer for breach of contract.
c. Matt's son may file a lawsuit against the auto dealer for breach of contract.
d. Mat's son can sue the manufacturer of the car for breach of contract. - CORRECT
ANSWER- -B
9. Which statement best describes the value of contracts to society?
a. Contracts can never be breached and therefore provide permanence to promises made
between parties.
b. Contracts permit parties to rely on terms and plan their business affairs accordingly.
c. Contracts create equal bargaining power between negotiating parties.
d. Contracts ensure that agreements are fair to both parties. - CORRECT ANSWER- -B
10. What types of employees should a company's head of risk management choose when
putting together a negotiating team?
a. executives with highly developed abilities to deceive when necessary in order to secure
a favourable agreement
Worldwide Comprehensive Solutions for Every
Question WITH MULTIPLE QUESTIONS AND THE
CORRECT ANSWER
1. What is the primary benefit of contract law to business?
a. Contract law allows businesses to transfer risk.
b. Once a contract is created, it permits both parties to rely on the terms they have
negotiated and plan their business affairs accordingly.
c. Contract law guarantees that others will follow through with their promises.
d. It ensures that businesses treat each other as equals and do not take advantage of one
another in business relationships. - CORRECT ANSWER- -B
2. Which statement best explains the requirement that "contracts must be supported by
mutual consideration"?
a. There must always be at least two parties to a contract.
b. Contracts require that the parties treat each other fairly.
c. A contract involves a bargain or exchange between the parties.
d. Contracts must be in writing to be enforceable. - CORRECT ANSWER- -C
3. With respect to what the terms contained in a negotiated formal contract should
ultimately be representative of, each parties' reasonable expectations will most likely be
founded on which of the following?
a. that all of the parties to the contract have legal capacity to contract
b. the time period within which all obligations must be performed
c. that there has been a formal intention to create legal relations
,d. the binding commitments that form the essence of the contract - CORRECT ANSWER- -
D
4. When resolving contractual conflicts, what laws do the courts usually apply?
a. the Contracts Act
b. the Sale of Goods Act
c. all decisions based on principles of fairness and equity
d. common law and occasionally statutory law - CORRECT ANSWER- -D
5. With respect to the relationship that exists between contractual parties, what is meant
by the phrase "meeting of the minds"?
a. There is an agreement between two or more persons.
b. The legal cornerstone of the commercial operation has been formed.
c. There is an informing idea behind the contractual relationship.
d. There is agreement upon the intrinsic responsibilities owed to each other. - CORRECT
ANSWER- -D
6. Two accomplished software developers want to combine their talents on a lucrative
project offered by a large document storage firm. The developers will have their agreed
roles and responsibilities incorporated into a formal contract to be prepared by their
respective lawyers. Which of the following is a valid representation of the legal significance
of the relationship between the parties that will be evidenced by the contract?
a. Each party will get exactly what it bargained for.
b. There has been a deliberate meeting of the minds.
c. Some of the parties to a contract can be sued under it.
d. No element of coercion exists between the contracting parties. - CORRECT ANSWER- -B
, 7. Which of the following is a good reason to use a contract as opposed to having a casual
understanding?
a. Casual understandings require lengthy negotiations and time to perform.
b. All contracts typically involve arrangements that are unlikely to be repeated.
c. Casual understandings are casually conducted and completed instantly.
d. All contracts are subject to the same set of compulsory legal rules. - CORRECT
ANSWER- -D
8. Matt purchases a car for his son from an auto dealership. A week later, his son discovers
a defect that renders the car unsafe. The defect is one that a court would consider to be a
breach of contract. What legal recourse is available to remedy this problem?
a. The court's resistance to imposing ethical business standards leaves no recourse.
b. Matt may commence a lawsuit against the dealer for breach of contract.
c. Matt's son may file a lawsuit against the auto dealer for breach of contract.
d. Mat's son can sue the manufacturer of the car for breach of contract. - CORRECT
ANSWER- -B
9. Which statement best describes the value of contracts to society?
a. Contracts can never be breached and therefore provide permanence to promises made
between parties.
b. Contracts permit parties to rely on terms and plan their business affairs accordingly.
c. Contracts create equal bargaining power between negotiating parties.
d. Contracts ensure that agreements are fair to both parties. - CORRECT ANSWER- -B
10. What types of employees should a company's head of risk management choose when
putting together a negotiating team?
a. executives with highly developed abilities to deceive when necessary in order to secure
a favourable agreement
