Test your basic knowledge |

Business Law Fundamentals

Subjects : law, business-law
Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. A party to whom the rights under a contract are transferred - or assigned.






2. Under a mortgage agreement - the debtor who gives the creditor a security interest in the debtor's property in return for a mortgage loan.






3. The resolution of disputes in ways other than those involved in the traditional judicial process. Negotiation - mediation - and arbitration are forms of ADR.






4. A guilty (prohibited) act. The commission of a prohibited act is one of the two essential elements required for criminal liability - the other element being the intent to commit a crime.






5. Conditions that must occur or be performed at the same time; they are mutually dependent. No obligations arise until these conditions are simultaneously performed.






6. A network of twelve district banks and related branches located around the country and headed by the Federal Reserve Board of Governors. Most banks in the United States have Federal Reserve accounts.






7. A type of conditional sale in which the buyer may take the goods on a trial basis. The sale becomes absolute only when the buyer approves of (or is satisfied with) the goods being sold.






8. The selling of goods in a foreign country at a price below the price charged for the same goods in the domestic market.






9. A set of policies or procedures affecting the way a corporation is directed or controlled.






10. A contract that results when the elements necessary for contract formation (agreement - consideration - legal purpose - and contractual capacity) are present.






11. The relationship that exists between the promisor and the promisee of a contract.






12. The mixing together of goods belonging to two or more owners so that the separately owned goods cannot be identified.






13. A trademark in cyberspace.






14. In Chapter 11 bankruptcy proceedings - a debtor who is allowed to continue in possession of the estate in property (the business) and to continue business operations.






15. A person who uses one computer to break into another. Professional computer programmers refer to such persons as 'crackers.'






16. In international law - a formal written agreement negotiated between two nations or among several nations. In the United States - all treaties must be approved by the Senate.






17. Within a specified time period or - if no period is specified - within a reasonable time.






18. A designation in the United States for a corporation formed in another country but doing business in the United States.






19. One who owes an obligation to another.






20. One for whose benefit a promise is made in a contract but who is not a party to the contract.






21. A system or place where banks exchange checks and drafts drawn on each other and settle daily balances.






22. The document filed with the appropriate governmental agency - usually the secretary of state - when a business is incorporated. State statutes usually prescribe what kind of information must be contained in the articles of incorporation.






23. An administrative or judicial order prohibiting a person or business firm from conducting activities that an agency or court has deemed illegal.






24. Drawee that is legally obligated to pay an instrument when it is presented later for payment.






25. A trust created by the grantor (settlor) and effective during the grantor's lifetime; a trust not established by a will.






26. A person - such as a cosigner on a note - who agrees to be primarily responsible for the debt of another.






27. A status granted in an international treaty by a provision stating that the citizens of the contracting nations may enjoy the privileges accorded by either party to citizens of its NTR nations. Generally - this status is designed to establish equalit






28. A group of persons protected by specific laws because of the group's defining characteristics. Under laws prohibiting employment discrimination - these characteristics include race - color - religion - national origin - gender - age - and disability.






29. A meeting of two or more minds in regard to the terms of a contract; usually broken down into two events






30. A court's grant of assistance to a complainant. In bankruptcy proceedings - the order relieves the debtor of the immediate obligation to pay the debts listed in the bankruptcy petition.






31. Statutes that allow deeds - mortgages - and other real property transactions to be recorded so as to provide notice to future purchasers or creditors of an existing claim on the property.






32. In a lawsuit - an issue involving the application or interpretation of a law. Only a judge - not a jury - can rule on questions of law.






33. Goods that conform to contract specifications.






34. A hybrid form of business enterprise that offers the limited liability of a corporation and the tax advantages of a partnership.






35. An agreement made before marriage that defines each partner's ownership rights in the other partner's property. Prenuptial agreements must be in writing to be enforceable.






36. A wrong against society proclaimed in a statute and - if committed - punishable by society through fines and/or imprisonment






37. A contract for the sale of goods in which the seller is required or authorized to ship the goods by carrier. The seller assumes liability for any losses or damage to the goods until they are delivered to the carrier.






38. A contract that has been completely performed by both parties.






39. A Latin term meaning 'by the roots.' In estate law - a method of distributing an intestate's estate so that each heir in a certain class (such as grandchildren) takes the share to which her or his deceased ancestor (such as a mother or father) would






40. A crime committed on the Internet.






41. A possessory lien given to a person who has made improvements and added value to another person's personal property as security for payment for services performed.

Warning: Invalid argument supplied for foreach() in /var/www/html/basicversity.com/show_quiz.php on line 183


42. The principle that human beings have certain fundamental rights (to life - freedom - and the pursuit of happiness - for example). Those who adhere to this 'rights theory' believe that a key factor in determining whether a business decision is ethical






43. The settling of a dispute by submitting it to a disinterested third party (other than a court) - who renders a decision that is (most often) legally binding.






44. A lesser crime than a felony - punishable by a fine or incarceration in jail for up to one year.






45. A written instrument - usually issued by a bank on behalf of a customer or other person - in which the issuer promises to honor drafts or other demands for payment by third persons in accordance with the terms of the instrument.






46. A doctrine under which a party to a contract is relieved of her or his duty to perform when performance becomes objectively impossible or totally impracticable (through no fault of either party).






47. A revocable right or privilege of a person to come onto another person's land.






48. The giving of testimony that may subject the testifier to criminal prosecution. The Fifth Amendment to the Constitution protects against self-incrimination by providing that no person 'shall be compelled in any criminal case to be a witness against h






49. In contract law - the withdrawal of an offer by an offeror. Unless the offer is irrevocable - it can be revoked at any time prior to acceptance without liability.






50. A draft drawn by a drawer ordering the drawee bank or financial institution to pay a certain amount of money to the holder on demand.