LEGAL ENVIRONMENT OF BUSINESS
ACTUAL TEST QUESTIONS AND ANSWERS
FULLY SOLVED REVIEW PACK
●● Rule of Law
Answer: Laws that are made generally and equally applicable to all
members of society
●● Supreme Court Justice
Answer: The President and the Senate must confirm this position
●● Property
Answer: A legal right that allows you to exclude others from your
resources
●● Ownership
Answer: The right to turn to public authorities to protect your interests
●● Public Property
Answer: Resources owned by the government
●● Private Property
,Answer: Resources that you own as an individual
●● Common Property
Answer: Resources owned by more than one individual
●● Criminal Law
Answer: Type of law that provides public protection for private
resources and punishes those who harm them
●● Tort Law
Answer: Type of law that protects and compensates owners through
private civil lawsuits when their resources are harmed by the actions of
others
●● Business Organization Law
Answer: Type of law that identifies how individuals can own and use
resources in groups
●● Contract Law
Answer: Type of law that determines how resources, including labor, are
exchanged between owners
●● Constitutional Law
,Answer: Type of law that establishes the framework of the state whose
purpose is to protect property in its broadest sense
●● Administrative and Regulatory Law
Answer: Type of law that concerns public laws that protect tax, regulate,
or redistribute an owner's resources
●● Jurisprudence
Answer: Philosophies that explain the origin of law and its justification-
general body of law according to the interpretation of judges
●● Natural Law
Answer: Form of law where universal moral principles are observable
and determined through human reason
●● Positive Law
Answer: Form of law where observable government commands are
backed by force and punishments
●● Historical School of Law
Answer: Form of law where tested principles reflect the cultural
traditions of people and recognize the diversity of laws
●● Sociological Law
, Answer: Form of law where principles change to meet the new needs of
a society
●● Legal Realism Law
Answer: Form of law that deals with the enforcement, interpretation, and
application of laws
●● Common Law
Answer: Law that emphasizes the role of judges in determining the
meaning of laws (judicial in nature)
●● Civil Law
Answer: Law that emphasizes the role of legislation to determine what
the law is (legislative in nature)
●● Public Law
Answer: Law that involves the regulation of society and the seeking of
justice to achieve the ends of society
●● Private Law
Answer: Law that covers those legal problems and issues that concern
your private resource relationships with others
●● Substantive Law
ACTUAL TEST QUESTIONS AND ANSWERS
FULLY SOLVED REVIEW PACK
●● Rule of Law
Answer: Laws that are made generally and equally applicable to all
members of society
●● Supreme Court Justice
Answer: The President and the Senate must confirm this position
●● Property
Answer: A legal right that allows you to exclude others from your
resources
●● Ownership
Answer: The right to turn to public authorities to protect your interests
●● Public Property
Answer: Resources owned by the government
●● Private Property
,Answer: Resources that you own as an individual
●● Common Property
Answer: Resources owned by more than one individual
●● Criminal Law
Answer: Type of law that provides public protection for private
resources and punishes those who harm them
●● Tort Law
Answer: Type of law that protects and compensates owners through
private civil lawsuits when their resources are harmed by the actions of
others
●● Business Organization Law
Answer: Type of law that identifies how individuals can own and use
resources in groups
●● Contract Law
Answer: Type of law that determines how resources, including labor, are
exchanged between owners
●● Constitutional Law
,Answer: Type of law that establishes the framework of the state whose
purpose is to protect property in its broadest sense
●● Administrative and Regulatory Law
Answer: Type of law that concerns public laws that protect tax, regulate,
or redistribute an owner's resources
●● Jurisprudence
Answer: Philosophies that explain the origin of law and its justification-
general body of law according to the interpretation of judges
●● Natural Law
Answer: Form of law where universal moral principles are observable
and determined through human reason
●● Positive Law
Answer: Form of law where observable government commands are
backed by force and punishments
●● Historical School of Law
Answer: Form of law where tested principles reflect the cultural
traditions of people and recognize the diversity of laws
●● Sociological Law
, Answer: Form of law where principles change to meet the new needs of
a society
●● Legal Realism Law
Answer: Form of law that deals with the enforcement, interpretation, and
application of laws
●● Common Law
Answer: Law that emphasizes the role of judges in determining the
meaning of laws (judicial in nature)
●● Civil Law
Answer: Law that emphasizes the role of legislation to determine what
the law is (legislative in nature)
●● Public Law
Answer: Law that involves the regulation of society and the seeking of
justice to achieve the ends of society
●● Private Law
Answer: Law that covers those legal problems and issues that concern
your private resource relationships with others
●● Substantive Law
