Test Bank for The Legal Environment of Business: Text and Cases, 12th Edition by Frank B. Cross and Roger LeRoy Miller
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Test Bank for The Legal Environment of Business: Text and Cases, 12e 12th Edition by Frank B. Cross, Roger LeRoy Miller. Full Chapters (Chap 1 to 28) test bank are included with answers.
Unit I: The Foundations.
1. Law and Legal Reasoning.
2. Business and the Constitution.
3. Ethics in Busine...
Indicate whether the statement is true or false.
1. In a criminal case, the object is to protect an individual.
a. True
b. False
ANSWER: False
2. A secondary source of law establishes the law on a particular issue.
a. True
b. False
ANSWER: False
3. The study of business law involves an ethical dimension.
a. True
b. False
ANSWER: True
4. Because laws may change, the ability to analyze and evaluate the legal ramifications of situations as they arise is
a lasting skill.
a. True
b. False
ANSWER: True
5. In the case citation, Badawi v. Albin, 311 Neb. 603, 973 N.W.2d 714 (2022), the opinion for this case can be
found in Volume 311 of the Nebraska Reports on page 603, and the parallel citation is to Volume 973 of the
North Western Reporter, Second Series, on page 714.
a. True
b. False
ANSWER: True
6. The U.S. Constitution is the basis of all law in the United States.
a. True
b. False
ANSWER: True
7. A federal statute applies only to those states that agree to apply it within their borders.
a. True
b. False
ANSWER: False
Page 1
,Name: Class: Date:
Chapter 01 12e Cross
8. A constitution is a primary source of law.
a. True
b. False
ANSWER: True
9. Frequently, people use the term cyberlaw to refer to the emerging body of law that governs transactions
conducted via the internet.
a. True
b. False
ANSWER: True
10. A local ordinance commonly has to do with a matter concerning only a local governing unit.
a. True
b. False
ANSWER: True
11. A legal encyclopedia is a secondary source of law.
a. True
b. False
ANSWER: True
12. Law consists of enforceable rules governing relationships among individuals and between individuals and their
society.
a. True
b. False
ANSWER: True
13. Courts will not grant an equitable remedy unless the remedy at law is adequate.
a. True
b. False
ANSWER: False
14. Congress or a state legislature establishes an administrative agency to perform a specific function.
a. True
b. False
ANSWER: True
Page 2
,Name: Class: Date:
Chapter 01 12e Cross
15. Federal agency regulations take precedence over conflicting state regulations.
a. True
b. False
ANSWER: True
16. The doctrines and principles announced in court decisions govern all areas not covered by statutory or
administrative law.
a. True
b. False
ANSWER: True
17. There is one right answer to every legal question.
a. True
b. False
ANSWER: False
18. A court should overturn its precedents only when there is a compelling reason to do so.
a. True
b. False
ANSWER: True
19. Compartmentalizing the law into discrete topics indicates that each business transaction is subject to only one
specific area of the law.
a. True
b. False
ANSWER: False
20. Rules issued by administrative agencies affect almost every aspect of a business’s operations.
a. True
b. False
ANSWER: True
21. A case of first impression is any legal authority or source of law that a court may look to for guidance but need
not follow when making its decision.
a. True
b. False
ANSWER: False
Page 3
, Name: Class: Date:
Chapter 01 12e Cross
22. Under the doctrine of stare decisis, judges are obligated to follow the precedents established within all
jurisdictions.
a. True
b. False
ANSWER: False
23. Independent regulatory agencies are subject to the authority of the president.
a. True
b. False
ANSWER: True
24. The basis of a civil law system is a written code of laws.
a. True
b. False
ANSWER: True
25. A trial court case was appealed, and the appellate case was called Smith v. Williams, which indicates that Smith
was the plaintiff in the case at trial and Williams was the defendant.
a. True
b. False
ANSWER: False
26. Civil law has to do with wrongs committed against society for which society demands redress.
a. True
b. False
ANSWER: False
27. With respect to the study of jurisprudence, there is essentially one school of legal thought.
a. True
b. False
ANSWER: False
28. A state legislature has the option of adopting or rejecting a uniform law.
a. True
b. False
ANSWER: True
Page 4
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