JMU COB 318 EXAM 1 – DAVID PARKER | COMPREHENSIVE BUSINESS STUDY
GUIDE, PRACTICE QUESTIONS & ANSWERS 2026/2027
Primary Sources of Law - correct answer ✔✔Document that establishes the law on a particular issue
Secondary Sources of Law - correct answer ✔✔Publication that summarizes or interprets the law
Law - correct answer ✔✔consists of enforceable rules governing relationships among individuals and
between individuals and their society
Law property - correct answer ✔✔Personal, land, intellectual
Purpose of law - correct answer ✔✔-Provide order
-Alternative to conflict
-Facilitate change
-Encourage a feeling of justice
-Personal freedoms guarunteed
-Moral guide
Constitutional Law - correct answer ✔✔Law derived from the U.S. Constitution and the constitutions of
various states
-Ordinances are included- commonly have to do with city or county land use
Statutory Law - correct answer ✔✔Law enacted by legislative bodies
Uniform Laws - correct answer ✔✔Developed by the NCCUSL for states to consider
UCC - correct answer ✔✔facilitates commerce among the states by providing a uniform, yet flexible, set
of rules governing commercial transactions
Administrative Law - correct answer ✔✔Division governing the activities of executive branch agencies of
government(Ex. FDA)
Case Law - correct answer ✔✔the rules of law announced in court decisions
Common Law - correct answer ✔✔The body of law developed from custom or judicial decisions in
English and U.S. courts, not attributable to a legislature.
-Established by the King's courts, they used his precedents for all rulings
Precedent - correct answer ✔✔A court decision that furnishes an example or authority for deciding
subsequent cases involving identical or similar facts.
Stare Decisis (Stand on decided cases) - correct answer ✔✔A common law doctrine under which judges
are obligated to follow the precedents established in prior decisions.
-Higher court decisions are binding on lower courts
-No precedents should be overturned unless there's a good reason
, Binding authority - correct answer ✔✔any source of law that a court must follow when deciding a case
Persuasive authorities ` - correct answer ✔✔Source of law that a court may look to for help(not binding
on court)
Remedy - correct answer ✔✔The relief given to an innocent party to enforce a right or compensate for
the violation of a right.
Equity - correct answer ✔✔Notions of justice and fair dealing
Action at law - correct answer ✔✔-Filed a complaint
-Judge or jury
-Decision=Judgement
-Monetary damages
Action in equity - correct answer ✔✔-Filed a petition
-Judge
-Decision=Decree
-Injunction, specific performance, recission
Plantiff - correct answer ✔✔One who begins a lawsuit
Defendant - correct answer ✔✔Person lawsuit was brought against
Jurisprudence(PHILOSOPHY OF LAW) - correct answer ✔✔Learning about different schools of legal
thought and discovering how each school's approach to law can affect judicial decision-making.
Natural law - correct answer ✔✔Belief that a universal law exists that applies to all and written laws
should match, moral and ethical principles(Ex. right to survive)
Legal Positivism - correct answer ✔✔There can be no higher law than a nation's positive law.
Historical school of legal thought(Ethics based) - correct answer ✔✔Determines principles of
contemerary law based on the past, laws that withstood the test of time are the best laws
Legal realism - correct answer ✔✔Law and other factors such as social and economic factors should be
considered
Substanitve law - correct answer ✔✔Law that defines, describes, regulates, and creates legal rights and
obligations
Procedural law - correct answer ✔✔Law that establishes the methods of enforcing the rights established
by substantive law.
Cyberlaw - correct answer ✔✔An informal term used to refer to all laws governing electronic
communications and transactions, particularly those conducted via the Internet.
GUIDE, PRACTICE QUESTIONS & ANSWERS 2026/2027
Primary Sources of Law - correct answer ✔✔Document that establishes the law on a particular issue
Secondary Sources of Law - correct answer ✔✔Publication that summarizes or interprets the law
Law - correct answer ✔✔consists of enforceable rules governing relationships among individuals and
between individuals and their society
Law property - correct answer ✔✔Personal, land, intellectual
Purpose of law - correct answer ✔✔-Provide order
-Alternative to conflict
-Facilitate change
-Encourage a feeling of justice
-Personal freedoms guarunteed
-Moral guide
Constitutional Law - correct answer ✔✔Law derived from the U.S. Constitution and the constitutions of
various states
-Ordinances are included- commonly have to do with city or county land use
Statutory Law - correct answer ✔✔Law enacted by legislative bodies
Uniform Laws - correct answer ✔✔Developed by the NCCUSL for states to consider
UCC - correct answer ✔✔facilitates commerce among the states by providing a uniform, yet flexible, set
of rules governing commercial transactions
Administrative Law - correct answer ✔✔Division governing the activities of executive branch agencies of
government(Ex. FDA)
Case Law - correct answer ✔✔the rules of law announced in court decisions
Common Law - correct answer ✔✔The body of law developed from custom or judicial decisions in
English and U.S. courts, not attributable to a legislature.
-Established by the King's courts, they used his precedents for all rulings
Precedent - correct answer ✔✔A court decision that furnishes an example or authority for deciding
subsequent cases involving identical or similar facts.
Stare Decisis (Stand on decided cases) - correct answer ✔✔A common law doctrine under which judges
are obligated to follow the precedents established in prior decisions.
-Higher court decisions are binding on lower courts
-No precedents should be overturned unless there's a good reason
, Binding authority - correct answer ✔✔any source of law that a court must follow when deciding a case
Persuasive authorities ` - correct answer ✔✔Source of law that a court may look to for help(not binding
on court)
Remedy - correct answer ✔✔The relief given to an innocent party to enforce a right or compensate for
the violation of a right.
Equity - correct answer ✔✔Notions of justice and fair dealing
Action at law - correct answer ✔✔-Filed a complaint
-Judge or jury
-Decision=Judgement
-Monetary damages
Action in equity - correct answer ✔✔-Filed a petition
-Judge
-Decision=Decree
-Injunction, specific performance, recission
Plantiff - correct answer ✔✔One who begins a lawsuit
Defendant - correct answer ✔✔Person lawsuit was brought against
Jurisprudence(PHILOSOPHY OF LAW) - correct answer ✔✔Learning about different schools of legal
thought and discovering how each school's approach to law can affect judicial decision-making.
Natural law - correct answer ✔✔Belief that a universal law exists that applies to all and written laws
should match, moral and ethical principles(Ex. right to survive)
Legal Positivism - correct answer ✔✔There can be no higher law than a nation's positive law.
Historical school of legal thought(Ethics based) - correct answer ✔✔Determines principles of
contemerary law based on the past, laws that withstood the test of time are the best laws
Legal realism - correct answer ✔✔Law and other factors such as social and economic factors should be
considered
Substanitve law - correct answer ✔✔Law that defines, describes, regulates, and creates legal rights and
obligations
Procedural law - correct answer ✔✔Law that establishes the methods of enforcing the rights established
by substantive law.
Cyberlaw - correct answer ✔✔An informal term used to refer to all laws governing electronic
communications and transactions, particularly those conducted via the Internet.
