PRAXIS II 0101 5101 BUSINESS EDUCATION | FROM
QUESTION TO PERFECTION| STUDY WITH CONFIDENCE!
Course Code:
Course Title:
Programme:
Academic Year: 2026/2027
Duration: 2 Hours.
Total Marks: 70%.
Candidate Instructions:
1) Write your Registration Number on every answer booklet used.
2) Answer ALL questions in Section A and ANY TWO (2) questions in Section B.
3) Read each question carefully before answering.
4) Begin each question on a new page.
5) The marks for each question are indicated in brackets.
6) This paper consists of several printed pages, including this page.
7) Ensure your copy is complete before the examination begins.
8) Unauthorized materials and communication with other candidates are not permitted.
Turn Over.
APPHIA – Crafted with Care and Precision for Academic Excellence.
1
,Federal Trade Commission Act Answer: 1914 - , established the FTC that would investigate and
prevent unfair business practices - encourage competition
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.
APPHIA – Crafted with Care and Precision for Academic Excellence.
2
,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 Answer: makes it illegal for groups to make false promises or
claims about improving your credit history.
Fair Debt Collection Practices Answer: Added to Consumer Credit Protection Act, makes
abusive and deceptive collection practices by lenders illegal
Tort Answer: a wrongful act, other than breach of contract, for which an injured party has the
right to sue
Lein Answer: a claim on the property of another as security for a debt
contract Answer: a binding agreement between two or more persons that is enforceable by law
implied contract Answer: a contract that comes about from the actions of the parties
expressed contract Answer: A written or oral agreement in which all terms are explicitly stated.
unilateral contract Answer: one party makes a promise that the other party can accept only by
doing something
bilateral contract Answer: a type of contract that arises when a promise is given in exchange for
a return promise
Financial opportunity Answer: An opportunity to make money
Capital Answer: The assets available for use in an investment
APPHIA – Crafted with Care and Precision for Academic Excellence.
3
, Income Statement Answer: a financial document that shows how much money; revenues; came
in and how much money; expenses; was paid out
Revenue Answer: The total amount of money made in a business over one year.
Gross Revenue Answer: the net sales minus the cost of goods and services sold
Operating Expenses Answer: Expenses incurred in paying for the day-to-day activities of the
business
Net Income Answer: Also called profit. Calculated as the Revenue less Expenses
Profit Answer: The amount of money you gain in an investment
Entrepreneur Answer: someone who is willing to assume the responsibility, risk and rewards of
starting and operating a business
Personal Strength Answer: Some thing that you can do well
Personal Trait Answer: a quality or characteristic that you have
Credit rating Answer: an estimate, based on previous dealings, of a person's or an organization's
ability to fulfill their financial commitments
Interest Answer: a fixed charge for borrowing money; usually a percentage of the amount
borrowed; "how much interest do you pay on your mortgage?"
Interest rate Answer: Cost of borrowing money, expressed as a percentage of the amount
borrowed per year.
Creditor Answer: The party or organization lending the money.
Debtor Answer: The party or organization that borrows the money.
Finance Answer: ..., the management of money and credit and banking and investments
Advertising Answer: ..., the business of drawing public attention to goods and services
Information Technology Answer: ..., the use of technology to move and process information
Target Marketing Answer: ..., focusing all marketing decisions on a very specific group of
people who you want to reach.
Administration Answer: ..., the management of any office, business, or organization; direction.
Parent Company Answer: A company that controls or owns another company or companies.
Brand Answer: name, symbol, or design used to identify a product.
Brand Loyalty Answer: a favorable attitude toward and consistent purchase of a single brand
over time
Logo Answer: An emblematic design adopted by an organization to identify its products.
Market share Answer: A company's product sales as a percentage of total sales for that industry
APPHIA – Crafted with Care and Precision for Academic Excellence.
4
QUESTION TO PERFECTION| STUDY WITH CONFIDENCE!
Course Code:
Course Title:
Programme:
Academic Year: 2026/2027
Duration: 2 Hours.
Total Marks: 70%.
Candidate Instructions:
1) Write your Registration Number on every answer booklet used.
2) Answer ALL questions in Section A and ANY TWO (2) questions in Section B.
3) Read each question carefully before answering.
4) Begin each question on a new page.
5) The marks for each question are indicated in brackets.
6) This paper consists of several printed pages, including this page.
7) Ensure your copy is complete before the examination begins.
8) Unauthorized materials and communication with other candidates are not permitted.
Turn Over.
APPHIA – Crafted with Care and Precision for Academic Excellence.
1
,Federal Trade Commission Act Answer: 1914 - , established the FTC that would investigate and
prevent unfair business practices - encourage competition
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.
APPHIA – Crafted with Care and Precision for Academic Excellence.
2
,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 Answer: makes it illegal for groups to make false promises or
claims about improving your credit history.
Fair Debt Collection Practices Answer: Added to Consumer Credit Protection Act, makes
abusive and deceptive collection practices by lenders illegal
Tort Answer: a wrongful act, other than breach of contract, for which an injured party has the
right to sue
Lein Answer: a claim on the property of another as security for a debt
contract Answer: a binding agreement between two or more persons that is enforceable by law
implied contract Answer: a contract that comes about from the actions of the parties
expressed contract Answer: A written or oral agreement in which all terms are explicitly stated.
unilateral contract Answer: one party makes a promise that the other party can accept only by
doing something
bilateral contract Answer: a type of contract that arises when a promise is given in exchange for
a return promise
Financial opportunity Answer: An opportunity to make money
Capital Answer: The assets available for use in an investment
APPHIA – Crafted with Care and Precision for Academic Excellence.
3
, Income Statement Answer: a financial document that shows how much money; revenues; came
in and how much money; expenses; was paid out
Revenue Answer: The total amount of money made in a business over one year.
Gross Revenue Answer: the net sales minus the cost of goods and services sold
Operating Expenses Answer: Expenses incurred in paying for the day-to-day activities of the
business
Net Income Answer: Also called profit. Calculated as the Revenue less Expenses
Profit Answer: The amount of money you gain in an investment
Entrepreneur Answer: someone who is willing to assume the responsibility, risk and rewards of
starting and operating a business
Personal Strength Answer: Some thing that you can do well
Personal Trait Answer: a quality or characteristic that you have
Credit rating Answer: an estimate, based on previous dealings, of a person's or an organization's
ability to fulfill their financial commitments
Interest Answer: a fixed charge for borrowing money; usually a percentage of the amount
borrowed; "how much interest do you pay on your mortgage?"
Interest rate Answer: Cost of borrowing money, expressed as a percentage of the amount
borrowed per year.
Creditor Answer: The party or organization lending the money.
Debtor Answer: The party or organization that borrows the money.
Finance Answer: ..., the management of money and credit and banking and investments
Advertising Answer: ..., the business of drawing public attention to goods and services
Information Technology Answer: ..., the use of technology to move and process information
Target Marketing Answer: ..., focusing all marketing decisions on a very specific group of
people who you want to reach.
Administration Answer: ..., the management of any office, business, or organization; direction.
Parent Company Answer: A company that controls or owns another company or companies.
Brand Answer: name, symbol, or design used to identify a product.
Brand Loyalty Answer: a favorable attitude toward and consistent purchase of a single brand
over time
Logo Answer: An emblematic design adopted by an organization to identify its products.
Market share Answer: A company's product sales as a percentage of total sales for that industry
APPHIA – Crafted with Care and Precision for Academic Excellence.
4
