PRE-ASSESSMENT: BUSINESS LAW
FOR ACCOUNTANTS (QDO1) (PQDO)
QUESTIONS AND SOLVED ANSWERS
A corporation is creating a media campaign. It has not been able to attract any fam
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ous personalities even when it was willing to pay. It believes it is crucial to have a f
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
amous person behind this campaign to succeed. The accountant is out doing some
sw sw sw sw sw sw sw sw sw sw sw sw sw
errands and notices a crowd of people at a corner. He rushes over to see what is g
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
oing on and notices a famous actor giving autographs and taking pictures with peopl
sw sw sw sw sw sw sw sw sw sw sw sw sw
e. He asks the famous actor if he could take a picture and the famous actor agrees.
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
The accountant gives the picture to advertising and tells the department that the fa
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
mous actor agreed to have his picture taken. The corporation releases the media ca
sw sw sw sw sw sw sw sw sw sw sw sw sw
mpaign with the famous actor's picture in it. While browsing on social media, the fa
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
mous actor sees the campaign and calls his lawyer. The famous actor's lawyer sues
sw sw sw sw sw sw sw sw sw sw sw sw sw
the corporation for using the famous actor's picture without consent. Do this famous
sw sw sw sw sw sw sw sw sw sw sw sw sw
actor's allega - ans-
sw sw sw swsw
Yes, because the accountant should have explained the purpose of the picture.
sw sw sw sw sw sw sw sw sw sw sw
An internal auditor is drafting a code of conduct as instructed by the chief audit exe
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
cutive. The company is privately held and is a large manufacturer.What is a require
sw sw sw sw sw sw sw sw sw sw sw sw sw
ment of a private company's code of conduct? - ans-
sw sw sw sw sw sw sw sw swsw
It indicates how employees should act.
sw sw sw sw sw
A CEO thinks it is time to talk about business ethics to senior management. She is
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
developing a list of talking points. What is a fundamental ethical issue that must be i
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ncluded in these talking points? - ans-Developing integrity and trust
sw sw sw sw sw swsw sw sw sw
A hardware store proactively informs clients whenever recalls happen. It is always wi
sw sw sw sw sw sw sw sw sw sw sw sw
lling to replace defective items at no cost even if the warranty has expired. Its philos
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ophy is to maximize benefits and minimize harm. This approach is known as outcom
sw sw sw sw sw sw sw sw sw sw sw sw sw
e-based ethics. What is a characteristic of outcome-based ethics? - ans-
sw sw sw sw sw sw sw sw sw swsw
It focuses on the consequences of an action.
sw sw sw sw sw sw sw
A floral company is currently hiring a new employee. After interviewing a great candi
sw sw sw sw sw sw sw sw sw sw sw sw sw
date, the human resources coordinator looked up the candidate on social media. Th
sw sw sw sw sw sw sw sw sw sw sw sw
, e human resources coordinator found too many pictures of cocktails and beers on th
sw sw sw sw sw sw sw sw sw sw sw sw sw
e candidate's profile. The prospective candidate worked part-
sw sw sw sw sw sw sw
time as a bartender. The human resources coordinator called the candidate and told
sw sw sw sw sw sw sw sw sw sw sw sw s
whim that she found a better fit even when she had not hired anyone for the position
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
. Are the human resources coordinator's actions legal and ethical? - ans-
sw sw sw sw sw sw sw sw sw sw swsw
The actions are legal but unethical.
sw sw sw sw sw
Due to booming business, a manufacturing company hired two new employees for a
sw sw sw sw sw sw sw sw sw sw sw sw s
rate of $15 per hour. Previous hires were paid a rate of $26 per hour. After analyzi
w sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ng the reduction on labor costs, the accountant recommended replacing the existing
sw sw sw sw sw sw sw sw sw sw sw sw
workers by less expensive workers. Is this accountant's recommendation legal? -
sw sw sw sw sw sw sw sw sw sw
ans-
swsw
Yes, because firing employees and hiring new ones for a lower wage is not illegal.
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
A local retailer decided to become a corporate citizen as a way to attract recent coll
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ege graduates looking for socially responsible employers. It was presented with the
sw sw sw sw sw sw sw sw sw sw sw sw
opportunity of changing the plastic bags used to an environmentally friendly option.
sw sw sw sw sw sw sw sw sw sw sw sw
This change would cost $10K more than the plastic bags it used, so the retailer deci
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ded not to implement the change. A year later, a new legislation prohibiting the use
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
of plastic bags was passed. Now that plastic bags cannot be used, the local retailer
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
tells applicants that it decided to stop using plastic bags as part of its environmental
sw sw sw sw sw sw sw sw sw sw sw sw sw sw s
wefforts. Are this local retailer's expressions ethical? - ans-
sw sw sw sw sw sw sw swsw
No, because it changed the practice based on a law.
sw sw sw sw sw sw sw sw sw
Which source of law is considered primary? - ans-Common law doctrines
sw sw sw sw sw sw sw swsw sw sw
What is a purpose of the Uniform Commercial Code? - ans-
sw sw sw sw sw sw sw sw sw swsw
Reduce difficulties for businesses conducting trade and commerce
sw sw sw sw sw sw sw
Which type of speech is considered unprotected? - ans-Obscene
sw sw sw sw sw sw sw swsw
What is a characteristic of a legal claim? - ans-
sw sw sw sw sw sw sw sw swsw
The remedy is usually monetary damages.
sw sw sw sw sw
Which kind of mark is "Cheesy" in connection with a spa company? - ans-Arbitrary
sw sw sw sw sw sw sw sw sw sw sw sw swsw
A company started a beverage company that sells a variety of juices. All the juices
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
are sold in a plastic bottle with the company's name, the name of the juice, and a lo
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
go the owner found online. Which type of protection should the owner seek for the n
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ame of the juice? - ans-Trademark
sw sw sw sw swsw
Which intellectual property is protected with a copyright? - ans-Lyrics to a song
sw sw sw sw sw sw sw sw swsw sw sw sw
Which type of trademark receives automatic protection? - ans-Fanciful marks
sw sw sw sw sw sw sw swsw sw
Which type of trademarks never receive protection? - ans-Generic marks
sw sw sw sw sw sw sw swsw sw
FOR ACCOUNTANTS (QDO1) (PQDO)
QUESTIONS AND SOLVED ANSWERS
A corporation is creating a media campaign. It has not been able to attract any fam
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ous personalities even when it was willing to pay. It believes it is crucial to have a f
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
amous person behind this campaign to succeed. The accountant is out doing some
sw sw sw sw sw sw sw sw sw sw sw sw sw
errands and notices a crowd of people at a corner. He rushes over to see what is g
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
oing on and notices a famous actor giving autographs and taking pictures with peopl
sw sw sw sw sw sw sw sw sw sw sw sw sw
e. He asks the famous actor if he could take a picture and the famous actor agrees.
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
The accountant gives the picture to advertising and tells the department that the fa
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
mous actor agreed to have his picture taken. The corporation releases the media ca
sw sw sw sw sw sw sw sw sw sw sw sw sw
mpaign with the famous actor's picture in it. While browsing on social media, the fa
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
mous actor sees the campaign and calls his lawyer. The famous actor's lawyer sues
sw sw sw sw sw sw sw sw sw sw sw sw sw
the corporation for using the famous actor's picture without consent. Do this famous
sw sw sw sw sw sw sw sw sw sw sw sw sw
actor's allega - ans-
sw sw sw swsw
Yes, because the accountant should have explained the purpose of the picture.
sw sw sw sw sw sw sw sw sw sw sw
An internal auditor is drafting a code of conduct as instructed by the chief audit exe
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
cutive. The company is privately held and is a large manufacturer.What is a require
sw sw sw sw sw sw sw sw sw sw sw sw sw
ment of a private company's code of conduct? - ans-
sw sw sw sw sw sw sw sw swsw
It indicates how employees should act.
sw sw sw sw sw
A CEO thinks it is time to talk about business ethics to senior management. She is
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
developing a list of talking points. What is a fundamental ethical issue that must be i
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ncluded in these talking points? - ans-Developing integrity and trust
sw sw sw sw sw swsw sw sw sw
A hardware store proactively informs clients whenever recalls happen. It is always wi
sw sw sw sw sw sw sw sw sw sw sw sw
lling to replace defective items at no cost even if the warranty has expired. Its philos
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ophy is to maximize benefits and minimize harm. This approach is known as outcom
sw sw sw sw sw sw sw sw sw sw sw sw sw
e-based ethics. What is a characteristic of outcome-based ethics? - ans-
sw sw sw sw sw sw sw sw sw swsw
It focuses on the consequences of an action.
sw sw sw sw sw sw sw
A floral company is currently hiring a new employee. After interviewing a great candi
sw sw sw sw sw sw sw sw sw sw sw sw sw
date, the human resources coordinator looked up the candidate on social media. Th
sw sw sw sw sw sw sw sw sw sw sw sw
, e human resources coordinator found too many pictures of cocktails and beers on th
sw sw sw sw sw sw sw sw sw sw sw sw sw
e candidate's profile. The prospective candidate worked part-
sw sw sw sw sw sw sw
time as a bartender. The human resources coordinator called the candidate and told
sw sw sw sw sw sw sw sw sw sw sw sw s
whim that she found a better fit even when she had not hired anyone for the position
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
. Are the human resources coordinator's actions legal and ethical? - ans-
sw sw sw sw sw sw sw sw sw sw swsw
The actions are legal but unethical.
sw sw sw sw sw
Due to booming business, a manufacturing company hired two new employees for a
sw sw sw sw sw sw sw sw sw sw sw sw s
rate of $15 per hour. Previous hires were paid a rate of $26 per hour. After analyzi
w sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ng the reduction on labor costs, the accountant recommended replacing the existing
sw sw sw sw sw sw sw sw sw sw sw sw
workers by less expensive workers. Is this accountant's recommendation legal? -
sw sw sw sw sw sw sw sw sw sw
ans-
swsw
Yes, because firing employees and hiring new ones for a lower wage is not illegal.
sw sw sw sw sw sw sw sw sw sw sw sw sw sw
A local retailer decided to become a corporate citizen as a way to attract recent coll
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ege graduates looking for socially responsible employers. It was presented with the
sw sw sw sw sw sw sw sw sw sw sw sw
opportunity of changing the plastic bags used to an environmentally friendly option.
sw sw sw sw sw sw sw sw sw sw sw sw
This change would cost $10K more than the plastic bags it used, so the retailer deci
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ded not to implement the change. A year later, a new legislation prohibiting the use
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
of plastic bags was passed. Now that plastic bags cannot be used, the local retailer
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
tells applicants that it decided to stop using plastic bags as part of its environmental
sw sw sw sw sw sw sw sw sw sw sw sw sw sw s
wefforts. Are this local retailer's expressions ethical? - ans-
sw sw sw sw sw sw sw swsw
No, because it changed the practice based on a law.
sw sw sw sw sw sw sw sw sw
Which source of law is considered primary? - ans-Common law doctrines
sw sw sw sw sw sw sw swsw sw sw
What is a purpose of the Uniform Commercial Code? - ans-
sw sw sw sw sw sw sw sw sw swsw
Reduce difficulties for businesses conducting trade and commerce
sw sw sw sw sw sw sw
Which type of speech is considered unprotected? - ans-Obscene
sw sw sw sw sw sw sw swsw
What is a characteristic of a legal claim? - ans-
sw sw sw sw sw sw sw sw swsw
The remedy is usually monetary damages.
sw sw sw sw sw
Which kind of mark is "Cheesy" in connection with a spa company? - ans-Arbitrary
sw sw sw sw sw sw sw sw sw sw sw sw swsw
A company started a beverage company that sells a variety of juices. All the juices
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
are sold in a plastic bottle with the company's name, the name of the juice, and a lo
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
go the owner found online. Which type of protection should the owner seek for the n
sw sw sw sw sw sw sw sw sw sw sw sw sw sw sw
ame of the juice? - ans-Trademark
sw sw sw sw swsw
Which intellectual property is protected with a copyright? - ans-Lyrics to a song
sw sw sw sw sw sw sw sw swsw sw sw sw
Which type of trademark receives automatic protection? - ans-Fanciful marks
sw sw sw sw sw sw sw swsw sw
Which type of trademarks never receive protection? - ans-Generic marks
sw sw sw sw sw sw sw swsw sw
