Chapter 1
Introduction to Law and
Legal Reasoning
N.B.: TYPE indicates that a question is new, modified, or unchanged, as
follows.
N A question new
... [Show More] to this edition of the Test Bank.
+ A question modified from the previous edition of the Test Bank.
= A question included in the previous edition of the Test Bank.
TRUE/FALSE QUESTIONS
A1. The stability and predictability of the law is essential to business activities.
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NAT: AACSB Analytic AICPA Critical Thinking
A2. Law is a body of enforceable rules governing relationships among
individuals and between individuals and their society.
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NAT: AACSB Analytic AICPA Legal
A3. A breach of a contract is a failure to perform it.
ANSWER: T PAGE: 3 TYPE: N
NAT: AACSB Ethics AICPA Critical Thinking
A4. Constitutional law includes only the U.S. Constitution.
2 TEST BANK A—UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole or in part.
ANSWER: F PAGE: 4 TYPE: =
NAT: AACSB Analytic AICPA Legal
CHAPTER 1: INTRODUCTION TO LAW AND LEGAL REASONING 3
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole or in part.
A5. A state constitution is supreme within the state’s borders.
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A6. Whether a law is constitutional depends on its source.
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A7. Uniform laws apply in all states, including those in which the laws have not
been adopted.
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A8. A state law that conflicts with the U.S. Constitution will be deemed
unconstitutional.
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A9. Statutory law does not include county ordinances.
ANSWER: F PAGE: 4 TYPE: =
NAT: AACSB Reflective AICPA Legal
A10. No state has adopted the Uniform Commercial Code in its entirety.
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NAT: AACSB Reflective AICPA Legal
A11. Common law is a term for law that is common throughout the world.
ANSWER: F PAGE: 7 TYPE: =
NAT: AACSB Analytic AICPA Critical Thinking
A12. Damages is a remedy at law.
4 TEST BANK A—UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or
posted to a publicly accessible website, in whole or in part.
ANSWER: T PAGE: 7 TYPE: =
NAT: AACSB Analytic AICPA Legal
A13. Remedies in equity include injunctions and decrees of specific performance.
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A14. In most states, the courts no longer grant “equitable” remedies.
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A15. A defendant is a person against whom a lawsuit is brought.
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A16. Courts do not depart from precedents.
ANSWER: F PAGE: 9 TYPE: =
NAT: AACSB Reflective AICPA Critical Thinking
A17. A judge’s function is to make the law.
ANSWER: F PAGE: 13 TYPE: N
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A18. Criminal law focuses on duties that exist between persons.
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A19. A reference to “28 U.S.C. Section 1332” means that a statute can be found
in section 1332 of title 28 of the United States Code.
ANSWER: T PAGE: 15 TYPE: =
NAT: AACSB Analytic AICPA Research [Show Less]