CPCU 530: Multiple Choice Exam | Questions with
100% Correct Answers | Verified | Latest Update
2026/2027
Save
Terms in this set (294)
Diego and Georgia meet in a bar and Diego lacked capacity to enter into a contract
enjoy cocktails together. Diego has because he was inebriated.
many more drinks than Georgia and
3 multiple choice options
is stumbling and slurring his speech.
Sensing an opportunity, Georgia
proposes that Diego sell her his
expensive Swiss wristwatch for a
mere $100 and Diego agrees. The
next day, Georgia appears at Diego's
office with $100 asking for the
wristwatch. Which one of the
following arguments is best for
Diego to avoid the contract?
,Fernanda runs a warehouse in New UCC Article 7 permits Fernanda to limit her liability
Jersey. The business is successful through terms in the warehouse receipt.
because it has major highway access
3 multiple choice options
and is close to major consumer
markets. Manufacturers from around
the country store goods bound for
Northeastern customers at
Fernanda's warehouse. Given the
large amount of goods stored by
others in her warehouse, Fernanda is
concerned about her exposure if
something happens to the
warehouse or the goods, so she
seeks advice from a lawyer about
how to limit her exposure to loss.
Which one of the following best
describes Fernanda's options in
addressing this liability?
Maria owns a commercial building A bilateral contract
and places insurance with Bastion 3 multiple choice options
Insurance. Because the annual
premium is high, and cash is tight,
Maria decides to enter into a
premium finance agreement with
Finance Co. ("Finance"). Under the
premium finance agreement, Finance
pays Bastion the full annual premium
and Maria pays Finance a monthly
amount for the premium, a fee and
interest. At the midpoint of the policy
year, which one of the following best
describes Maria's premium finance
agreement with Finance?
,Erin has worked full-time for the last The law firm must offer Erin up to 12 weeks of
five years as a librarian for a law firm unpaid leave in a 12-month period, with no loss of
with 100 attorneys located in a large accrued employment benefits.
downtown office building. Erin and 3 multiple choice options
her husband are happy to announce
that Erin is expecting a baby in six
months. She inquires with the law
firm's human resources department
about her rights for parental leave
under the Family Medical Leave Act
(FMLA). Which one of the following
best describes what the law firm
must offer Erin under the FMLA?
In February, Ann contract with Mahdi The court would find for Mahdi because Ann's
to deliver clean garden top soil for goods are non-conforming.
$30 a cubic yard to Mahdi's farm in 3 multiple choice options
Pennsylvania. No time for delivery is
stated in their contract but the
parties understand that Mahdi wants
to use the soil for this year's planting
season. In March, Ann delivers
garden soil that is contaminated and
Mahdi refuses to pay because he
believes Ann breached their
agreement. Which one of the
following best describes how a court
would rule on Mahdi's claim that Ann
breached their agreement?
, Daniel offers a ride to Lily, a ten- It lacks a legal purpose.
year-old, and takes her to his house 3 multiple choice options
where he locks her in his cellar and
demands money from Lily's parents
to secure her return. The parents
agree to pay and Lily is returned, but
Daniel never receives the money. He
sues Lily's parents for breach of
contract. Which one of the following
explains why Daniel's contract with
Lily's parents is not legally binding?
Vincente applied for business Do nothing because Vincente's statement was not a
insurance with Hallbinger Insurance. material misrepresentation.
Hallbinger's application asked if 3 multiple choice options
Vincente had any prior "serious
accidents or losses." Vincente had a
small water loss five years ago, but
believing it wasn't serious, he
answered "no." Hallbinger issued the
policy. If Hallbinger subsequently
discovers Vincente's prior water loss,
Hallbinger should
100% Correct Answers | Verified | Latest Update
2026/2027
Save
Terms in this set (294)
Diego and Georgia meet in a bar and Diego lacked capacity to enter into a contract
enjoy cocktails together. Diego has because he was inebriated.
many more drinks than Georgia and
3 multiple choice options
is stumbling and slurring his speech.
Sensing an opportunity, Georgia
proposes that Diego sell her his
expensive Swiss wristwatch for a
mere $100 and Diego agrees. The
next day, Georgia appears at Diego's
office with $100 asking for the
wristwatch. Which one of the
following arguments is best for
Diego to avoid the contract?
,Fernanda runs a warehouse in New UCC Article 7 permits Fernanda to limit her liability
Jersey. The business is successful through terms in the warehouse receipt.
because it has major highway access
3 multiple choice options
and is close to major consumer
markets. Manufacturers from around
the country store goods bound for
Northeastern customers at
Fernanda's warehouse. Given the
large amount of goods stored by
others in her warehouse, Fernanda is
concerned about her exposure if
something happens to the
warehouse or the goods, so she
seeks advice from a lawyer about
how to limit her exposure to loss.
Which one of the following best
describes Fernanda's options in
addressing this liability?
Maria owns a commercial building A bilateral contract
and places insurance with Bastion 3 multiple choice options
Insurance. Because the annual
premium is high, and cash is tight,
Maria decides to enter into a
premium finance agreement with
Finance Co. ("Finance"). Under the
premium finance agreement, Finance
pays Bastion the full annual premium
and Maria pays Finance a monthly
amount for the premium, a fee and
interest. At the midpoint of the policy
year, which one of the following best
describes Maria's premium finance
agreement with Finance?
,Erin has worked full-time for the last The law firm must offer Erin up to 12 weeks of
five years as a librarian for a law firm unpaid leave in a 12-month period, with no loss of
with 100 attorneys located in a large accrued employment benefits.
downtown office building. Erin and 3 multiple choice options
her husband are happy to announce
that Erin is expecting a baby in six
months. She inquires with the law
firm's human resources department
about her rights for parental leave
under the Family Medical Leave Act
(FMLA). Which one of the following
best describes what the law firm
must offer Erin under the FMLA?
In February, Ann contract with Mahdi The court would find for Mahdi because Ann's
to deliver clean garden top soil for goods are non-conforming.
$30 a cubic yard to Mahdi's farm in 3 multiple choice options
Pennsylvania. No time for delivery is
stated in their contract but the
parties understand that Mahdi wants
to use the soil for this year's planting
season. In March, Ann delivers
garden soil that is contaminated and
Mahdi refuses to pay because he
believes Ann breached their
agreement. Which one of the
following best describes how a court
would rule on Mahdi's claim that Ann
breached their agreement?
, Daniel offers a ride to Lily, a ten- It lacks a legal purpose.
year-old, and takes her to his house 3 multiple choice options
where he locks her in his cellar and
demands money from Lily's parents
to secure her return. The parents
agree to pay and Lily is returned, but
Daniel never receives the money. He
sues Lily's parents for breach of
contract. Which one of the following
explains why Daniel's contract with
Lily's parents is not legally binding?
Vincente applied for business Do nothing because Vincente's statement was not a
insurance with Hallbinger Insurance. material misrepresentation.
Hallbinger's application asked if 3 multiple choice options
Vincente had any prior "serious
accidents or losses." Vincente had a
small water loss five years ago, but
believing it wasn't serious, he
answered "no." Hallbinger issued the
policy. If Hallbinger subsequently
discovers Vincente's prior water loss,
Hallbinger should
