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Q:
Jim organized, and owns and operates, Jim's Landscaping Service in the simplest form of business organization. This is
a. a corporation.
b. a limited liability company.
c. a partnership.
d. a sole proprietorship.
Q:
If an action is ethical from an outcome-based perspective, it is always ethical from a duty-based perspective.
Q:
Sexual harassment occurs only if sexual favors are demanded of an employee.
Q:
Jody owns KuppaJava Kiosks, a sole proprietorship. Jody's liability is
a. limited by state statute and varies from state to state.
b. limited to the extent of capital expenditures.
c. limited to the extent of his or her original investment.
d. unlimited.
Q:
Carl sells Direct Marketing Enterprises, a sole proprietorship, to Erv. This is a transfer of
a. a license.
b. a trade name.
c. the formula to make a product.
d. the ownership of the business.
Q:
Under the principle of rights theory, one person's set of values is as "right" as another's.
Q:
Federal law does not prohibit employers from engaging in gender-based wage discrimination.
Q:
Federal law does not prohibit discrimination on the basis of gender in assessing an employee's education, training, or experience.
Q:
Duty-based ethics may be based on religious precepts or philosophical reasoning.
Q:
Fred starts up, and assumes the financial risk of, Graphic Ads, a new marketing enterprise. Fred is
a. a franchisee.
b. a franchisor.
c. an agent.
d. a sole proprietor.
Q:
A plaintiff alleging wage discrimination must file a complaint within a certain period of time of the decision that set the discriminatory pay.
Q:
The minimal acceptable standard for ethical behavior is compliance with the law.
Q:
Kelly, the owner of Llama Farms, a sole proprietorship, wants to obtain additional business capital but to maintain control. This can best be accomplished by
a. borrowing funds.
b. bringing in partners.
c. issuing stock.
d. selling the business.
Q:
Leigh wants to go into the business of construction contracting. Among the reasons that would probably convince Leigh to set up his business as a sole proprietorship would be
a. its greater organizational flexibility.
b. its limited liability.
c. its perpetual existence.
d. the ease of transferring the business to other family members.
Q:
In the interest of preserving personal freedom, the law codifies all ethical requirements.
Q:
Employers can treat their employees more or less favorably based on their religious beliefs or practices.
Q:
Employers cannot forbid their employees from participating in any religious activity.
Q:
An action may be legal but not ethical.
Q:
Cal sells "DownSize," a weight-reduction program, from a Web site, in competition with Eat-Less Inc.'s product "Fit "˜n Trim." Eat-Less files a suit against Cal, alleging in part that he is a sole proprietor, but his enterprise should be deemed a different form of business. Cal's enterprise should most likely be considered
a. a corporation because DownSize is sold online.
b. a franchisee because DownSize is sold in competition to Fit "˜n Trim.
c. a sole proprietorship because Cal is a sole proprietor.
d. no form of business entity because Cal has no formal organization.
Q:
An action may be ethical but illegal.
Q:
The Civil Rights Act of 1964 prohibits job discrimination against majority group individuals, such as white males.
Q:
The Civil Rights Act of 1964 does not protect against reverse discrimination.
Q:
The termination provision of a franchise contract is usually more favorable to the franchisor.
Q:
Corporate ethical policies and programs must be coordinated and monitored to be effective.
Q:
Most large companies have established ethics programs.
Q:
Much franchise litigation involves claims of wrongful termination.
Q:
The Civil Rights Act of 1964 does not prohibit job discrimination on the basis of national origin.
Q:
In determining whether a franchisor acted in good faith in terminating a franchise relationship, a court would balance the rights of both parties.
Q:
Discharging only one employee for ethical reasons has no impact on others' unethical behavior in the workplace.
Q:
Disparate-impact discrimination occurs when a protected class of individuals is adversely affected by an employer's practices, even though they do not appear to be discriminatory.
Q:
Making out a prima facie case of discrimination means that a plaintiff has met his or her initial burden of proof.
Q:
The parties to a franchise agreement may determine what constitutes the grounds for the termination of their relationship.
Q:
To foster ethical behavior among employees, managers should apply the ethical standards to which they are committed.
Q:
Title VII of the Civil Rights Act of 1964 prohibits only intentional discrimination.
Q:
For twenty years, Ozzie works for Players Paradise, a destination for vacationers from across the United States, maintaining golf carts. After a steady stream of positive job evaluations and merit pay raises, Ozzie is promoted to the position of supervisor of golf-cart maintenance at three of Players's courses. Five years later, a new employee, Quentin, is hired to oversee operations at all ten of Players's courses. Quentin demotes Ozzie, who is now over the age of forty, to running only one of the three cart facilities, and freezes his salary. Quentin demotes five other employees over the age of forty and places one of Ozzie's former facilities under the supervision of Richie, who is twenty-three. Ozzie overhears Richie say, "We"re going to have to do away with these old, senile men." Less than a year later, Quentin reconsolidates the three cart facilities' operations under Richie's charge. Ozzie quits and files a suit against Players for employment discrimination. Should he prevail? Explain.
Q:
The unethical conduct of corporate management is unlikely to affect the behavior of lower-level employees.
Q:
Any employee, except an undocumented alien, can bring an action for employment discrimination.
Q:
With a couple of new ideas regarding software design, Carol and Ray start a partnership that, with business success, becomes Pacific Applications Company. The company grows to include a staff of twenty-one employees. Over time, Pacific develops a new computer operating system. The firm signs licensing contracts with several computer manufacturers, but needs to double the number of its employees to fulfill those contracts. Is Pacific subject to federal antidiscrimination laws? If so, what should it consider in hiring new employees?
Q:
Corporate decisions affect only those who own, operate, or work for the company.
Q:
The Civil Rights Act of 1964 does not prohibit job discrimination in the hiring process.
Q:
Eton sues Funds Investment Company for employment discrimination under a state law. When compared to federal law, state law may provide
a. less damages only.
b. more damages.
c. no damages.
d. the same damages only.
Q:
Business ethics applies only to corporations.
Q:
Ethics is not concerned with the fairness, justness, or rightness of an action.
Q:
Title VII of the Civil Rights Act of 1964 does not apply to employers with only five employees.
Q:
Chris sues Delta, Inc., for employment discrimination under a state law. When compared to federal law, state law may apply to firms with
a. fewer employees.
b. more employees only.
c. no employees.
d. the same number of employees only.
Q:
Rail Systems Equipment Corporation discharges Porter, who sues Rail Systems for employment discrimination under Title VII. The defendant learns that Porter lied on his job application and argues that, had it known of the lie, it would have fired him. This is
a. an affirmative action defense.
b. a bona fide occupational qualification defense.
c. a business necessity defense.
d. no defense.
Q:
Ethics is not concerned with the philosophical, rational basis for morality.
Q:
Food Packagers Union represents the workers of Garden Variety, Inc. The company does not require its workers to join the union as a prerequisite to obtaining employment. The union would like the employer to require the workers to join after a specified amount of time on the job. This would violate
a. federal labor law.
b. federal full employment law.
c. federal employment discrimination law.
d. no federal law.
Q:
Elections for union officers are regulated by
a. the Labor-Management Relations Act.
b. the Civil Rights Act.
c. the Labor-Management Reporting and Disclosure Act.
d. no federal law.
Q:
Ethics is the branch of philosophy that focuses on what constitutes right and wrong behavior.
Q:
Machine Corporation requires its employees to have a high school diploma, claiming a definite connection between a high school education and job performance. In a suit against Machine Corporation under Title VII, this requirement is shown to have a discriminatory effect. The employer has
a. an affirmative action defense.
b. a bona fide occupational qualification defense.
c. a business necessity defense.
d. no defense.
Q:
Silky Coordinates, a women's clothing store, employs female attendants to assist customers in the dressing rooms. Radley, a forty-one-year-old male, applies for an attendant's job, but is not hired. In Radley's suit against Silky for employment discrimination under Title VII, the store has
a. an after-acquired evidence defense.
b. a bona fide occupational qualification defense.
c. a business necessity defense.
d. a seniority systems defense.
Q:
Employers are not allowed to interfere with employee' efforts to form or join a union under
a. the Norris-LaGuardia Act.
b. the National Labor Relations Act.
c. the Labor-Management Reporting and Disclosure Act.
d. the Labor-Management Relations Act.
Q:
The Alabama Consumer Protection Agency (ACPA) investigates the marketing practices of Beta Sales, Inc. The ACPA serves a subpoena on Beta, ordering the firm to provide certain business records, including its marketing agreements with other companies. Beta refuses to comply with the subpoena. On what is Beta most likely basing its refusal? Is a court likely to support Beta's position? Why or why not?
Q:
A state legislature enacts a statute that prohibits the advertising of video games "because the games might be harmful to minors." Despite this new statute, the president of Games Marketing, Inc. (GMI), orders GMI marketers to place ads in any media. When a GMI ad appears on HDTV, a local television station, GMI and HDTV are charged with violating the statute. What is the defendants' best defense against a conviction?
Q:
Fact Pattern 25-4Beth, who has a disability, is an employee of Corporate Office Company (COC). After the installation of new doors on COC's building, Beth finds it nearly impossible to get in and out. For repeatedly failing to be on time, COC replaces Beth with Dian, who does not have a disability.Refer to Fact Pattern 25-4. To successfully defend against Beth's claim, COC will have to show thata. Beth consistently failed to meet the essential requirements of her job.b. COC cannot make changes to the doors without undue hardship.c. Dian is qualified for Beth's position.d. the doors were not installed as an act of intentional discrimination.
Q:
Finance Professionals Union represents the workers of Business & Commerce Banking Corporation. The management of the firm refuses to bargain with the union. This violates
a. federal labor law.
b. state right-to-work laws.
c. federal wage and hour laws.
d. no federal or state law.
Q:
Fact Pattern 25-4Beth, who has a disability, is an employee of Corporate Office Company (COC). After the installation of new doors on COC's building, Beth finds it nearly impossible to get in and out. For repeatedly failing to be on time, COC replaces Beth with Dian, who does not have a disability.Refer to Fact Pattern 25-4. To succeed with a claim against COC under the Americans with Disabilities Act, Beth will have to show thata. Beth consistently met the essential requirements of her job.b. COC refused to make reasonable accommodation for Beth.c. Dian is unqualified for Beth's position.d. the doors were installed as an act of intentional discrimination.
Q:
Fruits & Vegetables, Inc., employs hundreds of seasonal and permanent workers, both skilled and unskilled, in seven states. Fruits & Vegetables can hire illegal immigrants
a. if either the employer or the immigrants file special forms.
b. only if the employer files a special form.
c. only if the immigrants file special forms.
d. under no circumstances.
Q:
A federal regulation that prohibits all businesspersons from appearing in their own television commercials would likely be held by a court to be
a. constitutional under the due process clause.
b. constitutional under the equal protection clause.
c. unconstitutional under the due process clause.
d. unconstitutional under the equal protection clause.
Q:
The requirement that no person be deprived of "life, liberty, or property without due process of law" is found in
a. the First Amendment only.
b. the Fifth Amendment only.
c. the Fourteenth Amendment only.
d. the Fifth Amendment and the Fourteenth Amendment.
Q:
Hu, Ivan, and Juana apply to work for King Meatpacking Company. These individual' identities and eligibility to work must be verified by
a. the employer.
b. the individuals.
c. the individual' countries of origin.
d. the U.S. Citizenship and Immigration Services.
Q:
Paolo has cerebral palsy, Quincy has kleptomania, and both work for Realty Insurance Company. Considered disabled under the Americans with Disabilities Act
a. are Paolo and Quincy.
b. is Paolo only.
c. is Quincy only.
d. is neither Paolo nor Quincy.
Q:
Dave has AIDS, Erin is blind, and both work for First Financial Centre. Considered disabled under the Americans with Disabilities Act
a. are Dave and Erin.
b. is Dave only.
c. is Erin only.
d. is neither Dave nor Erin.
Q:
Owen claims that a Pennsylvania state statute infringes on his "substantive due process" rights. This claim focuses on
a. procedures used in making decisions to take life, liberty, or property.
b. the similarity of the treatment of similarly situated individuals.
c. the content, or substance, of the statute.
d. the steps to be taken to protect Owen's privacy.
Q:
Southwestern Foods Corporation operates a packaging plant near the border between the United States and Mexico. Due to the location, it would be easier for Southwestern to employ noncitizens. With respect to persons not authorized to work in the United States, an employer can
a. hire them.
b. recruit them.
c. refer them for a fee.
d. not hire them, recruit them, or refer them for a fee.
Q:
Mineral Mining Corporation is a U.S. employer. Mineral, and other U.S. employers, must perform I-9 verifications for
a. a random selection of new hires.
b. every other new hire.
c. new hires with certain racial or ethnic characteristics.
d. each new hire.
Q:
Fact Pattern 25-3Lita replaces Manny in his job at Neighborly Business Corporation (NBC).Refer to Fact Pattern 25-3. To succeed with an age-discrimination claim against CBC, Manny will have to show thata. Lita is not qualified for Manny's job.b. Manny is qualified for his job.c. NBC's qualifications for Manny's job are too high.d. no one could do Manny's job as well as he could.
Q:
Fact Pattern 25-3Lita replaces Manny in his job at Neighborly Business Corporation (NBC).Refer to Fact Pattern 25-3. Manny believes that he has been discriminated against on the basis of his age. For the Age Discrimination in Employment Act of 1967 to applya. all parties must be forty years of age or younger.b. Lita must be forty years of age or older.c. Manny must be forty years of age or older.d. NBC must have been in existence for at least forty years.
Q:
Kansas enacts a Sunday closing law. Lo-Price Discount Stores files a suit to block the law's enforcement. The court would likely hold that it is a legitimate function of the state government to
a. encourage families to spend a day together.
b. promote church attendance.
c. provide a day of rest.
d. support religion.
Q:
Sunny Energy Company wants to genetically test its workers for potentially significant, future health problems. Sunny may
a. discharge employees who test "positive."
b. discriminate against job applicants who test "positive."
c. deny group health insurance for its employees who test "positive."
d. not make employment decisions based on genetic testing.
Q:
Nimble Numbers Accounting Corporation, a private employer, handles bookkeeping for small employers. In most circumstances, with exceptions, federal law clearly proÂhibits Nimble from subjecting its employees to
a. job-skills tests.
b. monitoring of business communications.
c. drug tests.
d. lie-detector tests.
Q:
Piku files an employment discrimination suit against Quotient Accounting, Inc., under Title VII, based on its discharge of Piku. In these circumstances, possible relief under Title VII includes
a. damages only.
b. damages or job reinstatement.
c. job reinstatement only.
d. neither damages or job reinstatement.
Q:
The First Amendment protects Gail and other individuals who engage in speech that harms others' good reputations
a. all of the time.
b. none of the time.
c. only if it is commercial speech.
d. only if it is political speech.
Q:
Iowa enacts a law that restricts certain kinds of advertising to protect consumers from being misled. This law would likely be held by a court to be
a. an unconstitutional restriction of speech.
b. constitutional under the First Amendment.
c. justified by the need to protect individual rights.
d. necessary to protect state interests.
Q:
The Employee Polygraph Protection Act of 1988 prohibits most private employers from doing all of the following except
a. requiring or causing employees or job applicants to take lie-detector tests.
b. using, accepting, or referring to, or asking about the results of lie-detector tests taken by employees or applicants.
c. taking or threatening negative employment-related action against employees or applicants based on results of lie-detector tests.
d. using lie-detector tests to investigate losses due to theft.
Q:
Mona files an employment discrimination suit against Nationwide Corporation (NC) under Title VII. If Mona shows that NC acted with malice or reckless indifference, she may recover
a. compensatory damages only.
b. compensatory or punitive damages.
c. neither compensatory nor punitive damages.
d. punitive damages only.
Q:
In 2006, Congress enacts the Act to Restrict Commercial Speech (ARCS). The ARCS will be considered valid
a. if it directly advances a substantial government interest but goes no further than necessary.
b. if it directly advances a substantial government interest regardless of how "far" it goes.
c. under any circumstances.
d. under no circumstances.
Q:
Samson is a government employee. Samson is limited in drug testing by the
a. First Amendment.
b. Second Amendment.
c. Fourth Amendment.
d. Eighth Amendment.
Q:
Cora, a female, and Dom, a male, are employees of Equipment Leasing Corporation. Cora regularly e-mails sexually explicit images to Dom via Equipment Leasing's computer network. Dom finds this offensive. This is
a. hostile-environment harassment.
b. not harassment or any form of discrimination.
c. quid pro quo harassment.
d. reverse discrimination.