test bank for business law and cases 12th edition by kenneth w clarkson
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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 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.
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
A20. Most state trial court decisions are not published.
ANSWER: T PAGE: 16 TYPE: =
NAT: AACSB Analytic AICPA Research
MULTIPLE CHOICE QUESTIONS
A1. The legislature of the state of Mississippi enacts a new statute that sets standards
for the liability of businesses selling defective products. This statute applies
a. only in Mississippi.
b. only in Mississippi and its border states.
c. in all states.
d. in all states but only to matters not covered by other states’ laws.
ANSWER: A PAGE: 4 TYPE: N
NAT: AACSB Reflective AICPA Critical Thinking
A2. Lewis is a state court judge. Like other judges, Lewis often refers to
secondary sources of law for guidance. These sources include
a. official comments to statute.
b. other states’ statutes.
c. state constitutions.
d. the U.S. Constitution.
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