BUSFIN 3500 FINAL EXAM 2025 WITH
ACTUAL CORRECT QUESTIONS AND
VERIFIED DETAILED ANSWERS
|FREQUENTLY TESTED QUESTIONS AND
SOLUTIONS |ALREADY GRADED A+|BRAND
NEW!!|LATEST UPDATE |GUARANTEED PASS
Presidential authority over foreign affairs
the president's ability to make law regarding foreign affairs derives from the presidential power to make
treaties, subject to the advice and consent of two thirds of the senate.
Presidential authority over domestic affairs
the president's authority over domestic affairs is yet another source of law. Article II if the Constitution
of the U.S. provides that the president "shall take Care that the Laws be faithfully executed."
Interaction among the various source of law
the various sources of law in the U.S. do not operate in a vacuum. The three branches of government
frequently interact. This interaction provides a system of checks and balances in which the branches
may aid or block each other.
Legal reasoning
The rest of this chapter looks at a method of thinking called legal reasoning. Legal reasoning cannot be
precisely defined. Because it is a method of reasoning, the most that can be hoped for is a functional
description of the process. Indeed, it is ironic but true that generations of law students have been taught
to "think like a lawyer" without ever having been told explicitly just what is meant by that statement.
Although the method of reasoning that underlies legal reasoning is not unique to the legal system, we
find the method most prominently displayed there. This is due in part to the methods and doctrines
developed by courts to guide their decision making. Because courts explain their decisions in written
opinions, we turn to court opinions for examples of legal reasoning
Precedent-Based Rationales
1|Page
,involve the basic question of whether an earlier decision applies to the present case, or if it is in some
significant way different from the present controversy.
Policy-Based Rationales
Focus on who should be making policy, rather than on the policy issues themselves
The Lawyer's Role
Lawyers play many roles in relation to the business firm. They counsel the firm's managers regarding
transactions, compliance with regulations, review of contracts and a variety of other legal matters. They
draft and review legal documents. Their primary goal as counsellors and drafters is to prevent legal
problems from developing
Attorney-Client Privilege
The attorney-client privilege protects only the communication between the client and the attorney. The
communication must be for the purpose of obtaining legal advice. The underlying information is not
protected. A client cannot hide information just by telling it to the attorney. The reason for the attorney-
client privilege is to promote compliance with the law. The purpose of seeking legal advice is to avoid
violating the law. A client who trusts the attorney not to reveal communications between them should
be forthcoming with the facts needed by the attorney to form a legal opinion. Exceptions to the
attorney-client privilege exist when there is an overriding public policy. For example, an exception allows
an attorney to disclose communication where the client is trying to use the lawyer's services to commit
a crime or fraud.
District Courts
The basic federal trial court is the U.S. district court. There is at least one district in every state and
territory. Many states are divided into more than one district, depending on size, population, and
number of lawsuits filed. District courts also hear appeals from a few federal agencies, such as the Social
Security Administration. The district court has subject matter jurisdiction only if a statute gives it
jurisdiction. The two broadest statutes give district courts jurisdiction over cases involving a federal
question and diversity of citizenship.
The State System
page 59 in textbook
Advertisements create offers that can be accepted to make a binding contract.
False
To be valid, a contract must be in writing and signed or notarized.
False
A contract that is contrary to public policy will be enforceable if it is signed by the party to be charged.
False
When someone breaches a contract, courts most often order them to perform it.
2|Page
,False
On October 1st an employer offers you a job starting May 3rd, which is after final exams are over Spring
semester. Graduation is May 10th. You respond to the employer's offer by saying that you accept,
starting May 11th. The employer does not respond. Two weeks later you call the employer and tell the
employer you will start May 3rd, after all. You and the employer have:
No contract, because you rejected the employer's offer.
Sasha, the owner of Mucho Munchies, Inc. a Midwestern restaurant chain, told Erin, a manager in the
Columbus restaurant, that whenever the regional manager's position for Ohio became vacant, Erin
would be promoted to the position at whatever the regional manager's salary is at the time. A month
later, Erin turned down an offer from a competitor to be the regional manager of one of its regions. A
year later, the regional manager's position became vacant, but Sasha promoted Jan to the job. Under
these circumstances.
Erin can successfully sue Sasha in a cause of action alleging promissory estoppel.
Erstwhile & Erstwhile is a small public accounting firm with twelve employees. Erstwhile maintained a
single office in Columbus, Ohio. All of Erstwhile's clients were located in Ohio. Erstwhile employed Julius
as a senior accountant. The employment contract provided that if the employment should be
terminated for any reason, Julius would not engage in the practice of public accounting nor accept
employment by a public accounting firm anywhere in the United States for a period of five years.
The agreement would probably be unreasonable and unenforceable against Julius.
The parol evidence rule does not apply to:
Written agreements that were obtained by fraud.
Under the principle of respondeat superior, an employer is liable for the torts of an employee who is
acting within the employee's scope of employment.
True
To prove successfully the tort of wrongful discharge, a terminated employee must prove the following:
(1) the employee's employment was terminated by his or her former employer, (2) the termination was
without cause, and (3) termination caused the employee to suffer economic injury.
False
Liability in negligence is limited to unreasonable conduct that results in foreseeable injury.
True
Strict liability in tort requires proof that the defendant's conduct was unreasonable under the
circumstances.
False
3|Page
, Ce Curety, guard for Food Store, believed Buyer hid goods in Buyer's coat. Ce stopped Buyer, and asked
Buyer to come to Ce's office, which Buyer did, and after searching Buyer's outer clothing and bags,
discovered that Buyer was innocent. Food Store:
Is not liable for false imprisonment.
Strict liability has not been applied in cases of:
Services
The EEOC will accept a charge of employment discrimination made by someone claiming that they have
been discriminated against by an employer on the basis of sexual orientation.
True
An employer may require that an employee be of a particular race if that race is a bona fide
occupational qualification (bfoq).
False
Julius and Penelope skip work one day. The employer fires Penelope but does not fire Julius. The
employer has:
Violated Title VII in the form of disparate treatment discrimination on the basis of sex.
Julius and Penelope skip work one day. The employer fires Penelope but does not fire Julius. If the
employer states that the reason that Penelope was fired was because she had a worse attendance
record:
The employer has met its burden of proof that it did not violate Title VII.
Julius and Penelope skip work one day. The employer fires Penelope but does not fire Julius. The
employer states that the reason that Penelope was fired was because she had a worse attendance
record. If Penelope can show that the employer's stated reason was not real, because the employer had
not recorded Julius's attendance as regularly as it had recorded Penelope's:
Penelope has provided evidence that the employer's stated reason was a pretext for discrimination on
the basis of sex in violation of Title VII.
The zoo requires that the giraffe handlers be at least 6 feet tall, due to the animal's long necks. Relying
on its policy, the zoo refuses to hire Penelope, who is 5 feet 2 inches in height, for the position of giraffe
handler. Under these circumstances, the zoo has:
Discriminated in violation of Title VII against Penelope under the disparate impact theory of
discrimination.
Acceptance
consists of words or actions by which an offeree signifies his or her intention to be bound by the offer.
Acceptance binds the offeree and the offeror. Acceptance must occur before the offer is terminated.
Mailbox Rule
4|Page
ACTUAL CORRECT QUESTIONS AND
VERIFIED DETAILED ANSWERS
|FREQUENTLY TESTED QUESTIONS AND
SOLUTIONS |ALREADY GRADED A+|BRAND
NEW!!|LATEST UPDATE |GUARANTEED PASS
Presidential authority over foreign affairs
the president's ability to make law regarding foreign affairs derives from the presidential power to make
treaties, subject to the advice and consent of two thirds of the senate.
Presidential authority over domestic affairs
the president's authority over domestic affairs is yet another source of law. Article II if the Constitution
of the U.S. provides that the president "shall take Care that the Laws be faithfully executed."
Interaction among the various source of law
the various sources of law in the U.S. do not operate in a vacuum. The three branches of government
frequently interact. This interaction provides a system of checks and balances in which the branches
may aid or block each other.
Legal reasoning
The rest of this chapter looks at a method of thinking called legal reasoning. Legal reasoning cannot be
precisely defined. Because it is a method of reasoning, the most that can be hoped for is a functional
description of the process. Indeed, it is ironic but true that generations of law students have been taught
to "think like a lawyer" without ever having been told explicitly just what is meant by that statement.
Although the method of reasoning that underlies legal reasoning is not unique to the legal system, we
find the method most prominently displayed there. This is due in part to the methods and doctrines
developed by courts to guide their decision making. Because courts explain their decisions in written
opinions, we turn to court opinions for examples of legal reasoning
Precedent-Based Rationales
1|Page
,involve the basic question of whether an earlier decision applies to the present case, or if it is in some
significant way different from the present controversy.
Policy-Based Rationales
Focus on who should be making policy, rather than on the policy issues themselves
The Lawyer's Role
Lawyers play many roles in relation to the business firm. They counsel the firm's managers regarding
transactions, compliance with regulations, review of contracts and a variety of other legal matters. They
draft and review legal documents. Their primary goal as counsellors and drafters is to prevent legal
problems from developing
Attorney-Client Privilege
The attorney-client privilege protects only the communication between the client and the attorney. The
communication must be for the purpose of obtaining legal advice. The underlying information is not
protected. A client cannot hide information just by telling it to the attorney. The reason for the attorney-
client privilege is to promote compliance with the law. The purpose of seeking legal advice is to avoid
violating the law. A client who trusts the attorney not to reveal communications between them should
be forthcoming with the facts needed by the attorney to form a legal opinion. Exceptions to the
attorney-client privilege exist when there is an overriding public policy. For example, an exception allows
an attorney to disclose communication where the client is trying to use the lawyer's services to commit
a crime or fraud.
District Courts
The basic federal trial court is the U.S. district court. There is at least one district in every state and
territory. Many states are divided into more than one district, depending on size, population, and
number of lawsuits filed. District courts also hear appeals from a few federal agencies, such as the Social
Security Administration. The district court has subject matter jurisdiction only if a statute gives it
jurisdiction. The two broadest statutes give district courts jurisdiction over cases involving a federal
question and diversity of citizenship.
The State System
page 59 in textbook
Advertisements create offers that can be accepted to make a binding contract.
False
To be valid, a contract must be in writing and signed or notarized.
False
A contract that is contrary to public policy will be enforceable if it is signed by the party to be charged.
False
When someone breaches a contract, courts most often order them to perform it.
2|Page
,False
On October 1st an employer offers you a job starting May 3rd, which is after final exams are over Spring
semester. Graduation is May 10th. You respond to the employer's offer by saying that you accept,
starting May 11th. The employer does not respond. Two weeks later you call the employer and tell the
employer you will start May 3rd, after all. You and the employer have:
No contract, because you rejected the employer's offer.
Sasha, the owner of Mucho Munchies, Inc. a Midwestern restaurant chain, told Erin, a manager in the
Columbus restaurant, that whenever the regional manager's position for Ohio became vacant, Erin
would be promoted to the position at whatever the regional manager's salary is at the time. A month
later, Erin turned down an offer from a competitor to be the regional manager of one of its regions. A
year later, the regional manager's position became vacant, but Sasha promoted Jan to the job. Under
these circumstances.
Erin can successfully sue Sasha in a cause of action alleging promissory estoppel.
Erstwhile & Erstwhile is a small public accounting firm with twelve employees. Erstwhile maintained a
single office in Columbus, Ohio. All of Erstwhile's clients were located in Ohio. Erstwhile employed Julius
as a senior accountant. The employment contract provided that if the employment should be
terminated for any reason, Julius would not engage in the practice of public accounting nor accept
employment by a public accounting firm anywhere in the United States for a period of five years.
The agreement would probably be unreasonable and unenforceable against Julius.
The parol evidence rule does not apply to:
Written agreements that were obtained by fraud.
Under the principle of respondeat superior, an employer is liable for the torts of an employee who is
acting within the employee's scope of employment.
True
To prove successfully the tort of wrongful discharge, a terminated employee must prove the following:
(1) the employee's employment was terminated by his or her former employer, (2) the termination was
without cause, and (3) termination caused the employee to suffer economic injury.
False
Liability in negligence is limited to unreasonable conduct that results in foreseeable injury.
True
Strict liability in tort requires proof that the defendant's conduct was unreasonable under the
circumstances.
False
3|Page
, Ce Curety, guard for Food Store, believed Buyer hid goods in Buyer's coat. Ce stopped Buyer, and asked
Buyer to come to Ce's office, which Buyer did, and after searching Buyer's outer clothing and bags,
discovered that Buyer was innocent. Food Store:
Is not liable for false imprisonment.
Strict liability has not been applied in cases of:
Services
The EEOC will accept a charge of employment discrimination made by someone claiming that they have
been discriminated against by an employer on the basis of sexual orientation.
True
An employer may require that an employee be of a particular race if that race is a bona fide
occupational qualification (bfoq).
False
Julius and Penelope skip work one day. The employer fires Penelope but does not fire Julius. The
employer has:
Violated Title VII in the form of disparate treatment discrimination on the basis of sex.
Julius and Penelope skip work one day. The employer fires Penelope but does not fire Julius. If the
employer states that the reason that Penelope was fired was because she had a worse attendance
record:
The employer has met its burden of proof that it did not violate Title VII.
Julius and Penelope skip work one day. The employer fires Penelope but does not fire Julius. The
employer states that the reason that Penelope was fired was because she had a worse attendance
record. If Penelope can show that the employer's stated reason was not real, because the employer had
not recorded Julius's attendance as regularly as it had recorded Penelope's:
Penelope has provided evidence that the employer's stated reason was a pretext for discrimination on
the basis of sex in violation of Title VII.
The zoo requires that the giraffe handlers be at least 6 feet tall, due to the animal's long necks. Relying
on its policy, the zoo refuses to hire Penelope, who is 5 feet 2 inches in height, for the position of giraffe
handler. Under these circumstances, the zoo has:
Discriminated in violation of Title VII against Penelope under the disparate impact theory of
discrimination.
Acceptance
consists of words or actions by which an offeree signifies his or her intention to be bound by the offer.
Acceptance binds the offeree and the offeror. Acceptance must occur before the offer is terminated.
Mailbox Rule
4|Page
