BUSINESS LAW, INTERNATIONAL BUSINESS, AND
INSURANCE EXPECTED QUESTIONS WITH VERIFIED
ANSWERS
Question 1.
By accepting monthly payments for over a year, Patricia ____ the agreement, making it
impossible to rescind.
ANSWER
Ratified
Question 2.
What is an exception to the Parol Evidence Rule?
ANSWER
Showing a contract was signed under duress
Question 3.
Doris threatened Joe into giving her a raise to keep quiet. The contract is voidable due to legal
____.
ANSWER
Duress
Question 4.
A threat to withhold goods unless a buyer agrees to pay more is an example of ____.
ANSWER
Economic duress
Question 5.
Bob and Susan painted over a foundation crack to hide it from buyers. This is called ____.
ANSWER
Active concealment
Question 6.
The rule requiring acceptance terms to exactly match the offer terms is the ____.
ANSWER
Mirror Image Rule
1
,Question 7.
Alfredo proposes different payment terms than Victor offered. His proposal is a ____.
ANSWER
Counteroffer
Question 8.
When a dominant party uses irresistible pressure in a confidential relationship, ____ occurs.
ANSWER
Undue influence
Question 9.
ceives to make a promise enforceable is called ____.
ANSWER
Consideration
Question 10.
If fraud is proven, the injured party may seek rescission and ____.
ANSWER
Damages
Question 11.
Returning a dress and receiving a refund by mutual agreement is called ____.
ANSWER
Rescission
Question 12.
A relationship in which a dependent party places significant trust in a dominant party is called a
____.
ANSWER
Confidential relationship
Question 13.
A contract misunderstanding shared by both parties is a ____ mistake of fact.
ANSWER
Mutual (or Bilateral) mistake
2
, Question 14.
A reward offered for finding and returning a lost pet is an example of a ____ contract.
ANSWER
Unilateral contract
Question 15.
DeShawn failed to read her employment contract. The court would likely classify this as a ____
mistake.
ANSWER
Unilateral mistake
Question 16.
A political system where one party controls all power and prohibits opposition parties is called a
____ system.
ANSWER
Totalitarian
Question 17.
Stopping all imports and exports with another country is a trade ____. foreign-owned assets is
called ____.
ANSWER
Ban
Question 18.
When demand exceeds supply and prices rise, the result is ____ inflation.
ANSWER
Demand-pull
Question 19.
An association of countries that join together to promote mutual trade is called a ____.
ANSWER
Common market
Question 20.
If Ian's premium was $890 and increased by 50%, what is the new premium?
ANSWER
$1,335
3
INSURANCE EXPECTED QUESTIONS WITH VERIFIED
ANSWERS
Question 1.
By accepting monthly payments for over a year, Patricia ____ the agreement, making it
impossible to rescind.
ANSWER
Ratified
Question 2.
What is an exception to the Parol Evidence Rule?
ANSWER
Showing a contract was signed under duress
Question 3.
Doris threatened Joe into giving her a raise to keep quiet. The contract is voidable due to legal
____.
ANSWER
Duress
Question 4.
A threat to withhold goods unless a buyer agrees to pay more is an example of ____.
ANSWER
Economic duress
Question 5.
Bob and Susan painted over a foundation crack to hide it from buyers. This is called ____.
ANSWER
Active concealment
Question 6.
The rule requiring acceptance terms to exactly match the offer terms is the ____.
ANSWER
Mirror Image Rule
1
,Question 7.
Alfredo proposes different payment terms than Victor offered. His proposal is a ____.
ANSWER
Counteroffer
Question 8.
When a dominant party uses irresistible pressure in a confidential relationship, ____ occurs.
ANSWER
Undue influence
Question 9.
ceives to make a promise enforceable is called ____.
ANSWER
Consideration
Question 10.
If fraud is proven, the injured party may seek rescission and ____.
ANSWER
Damages
Question 11.
Returning a dress and receiving a refund by mutual agreement is called ____.
ANSWER
Rescission
Question 12.
A relationship in which a dependent party places significant trust in a dominant party is called a
____.
ANSWER
Confidential relationship
Question 13.
A contract misunderstanding shared by both parties is a ____ mistake of fact.
ANSWER
Mutual (or Bilateral) mistake
2
, Question 14.
A reward offered for finding and returning a lost pet is an example of a ____ contract.
ANSWER
Unilateral contract
Question 15.
DeShawn failed to read her employment contract. The court would likely classify this as a ____
mistake.
ANSWER
Unilateral mistake
Question 16.
A political system where one party controls all power and prohibits opposition parties is called a
____ system.
ANSWER
Totalitarian
Question 17.
Stopping all imports and exports with another country is a trade ____. foreign-owned assets is
called ____.
ANSWER
Ban
Question 18.
When demand exceeds supply and prices rise, the result is ____ inflation.
ANSWER
Demand-pull
Question 19.
An association of countries that join together to promote mutual trade is called a ____.
ANSWER
Common market
Question 20.
If Ian's premium was $890 and increased by 50%, what is the new premium?
ANSWER
$1,335
3
