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Business Law CLEP Practice Test
1) What is the Mosaic Code?
A) Gods special care and protection
B) The foundation of Judeo-Christian moral teachings
C) The basis of our U.S. legal system today
D) All of the above
E) None of the above
2) What is the definition of manslaughter?
A) Death caused by passion
B) Death caused by rage
C) Death caused by negligence
D) None of the above
E) All of the above
3) What is the Lemon Law?
A) Promises that only one party has to agree to
B) Promises that help consumers with their purchasing problems
C) A law that may help consumers with their purchase problems
D) A state and federal law that helps people find solutions when they have purchased a product that does not work
E) The Lemon Law is the promise that the lemons people buy will be good and fresh.
4) Why is it illegal to sell a bad car?
A) Because it’s wrong to lie
B) Its considered illegal to sell an unsafe vehicle or misrepresent a vehicle and lie in response to questions asked about the vehicle
C) Because it’s wrong to sell a car that’s been in a flood
D) Because it’s wrong to sell a brown car to a customer on Sunday’s
E) Because this transaction is not a part of the consumers protecting act
5) What divides our government into three branches of power, executive, legislative and judicial?
A) Principle of legality
B) Police Power
C) False pretenses
D) Separation of Powers
E) None of the above
6) Two of the largest categories of civil law are
A) Contract law and tort law
B) Contract law and civil law
C) Civil law and contract law
D) Tort law and criminal law
E) Both A & D
7) Three types of torts are
A) Product liability, strict liability, and negligence
B) Negligence, foreseeable liability and strict liability
C) Product liability, foreseeable liability and intentional tort
D) Strict liability, intentional tort and negligence
E) Tort law, intentional tort, product liability
8) Misconduct negligence is?
A) A person was hurt as the result of unreasonable carelessness
B) A person was careful, but someone still was injured
C) A person was hurt because someone’s wild animal attacked him
D) A person was hurt by name calling
E) Nobody gets hurt
9) What four things are needed before a Discharge of Contracts can occur?
A) Breach, performance, adjustment, frustrations
B) Performance, agreement, breach, consideration
C) Consideration, performance, agreement, breach
D) Performance, agreement, breach, frustration
E) Performance, agreements, frustration, adjustment
10) When disputes over a contract are only $3000 to $7000 can the dispute be taken to court?
A) Yes, a Small Claims Court
B) No, things must be settled between parties
C) Yes, but only the lawyers can attend
D) No, the amount of damages is too small
E) Yes, the Supreme Court
CLEP Practice Test Answer Key:
- C:) The basis of our U.S. legal system today.
- E:) All of the above.
- D:) A state and federal law that helps people find solutions when they have purchased a product that does not work.
- B:) It is considered illegal to sell an unsafe vehicle or misrepresent a vehicle and lie in response to questions asked about the vehicle.
- D:) Separation of powers.
- A:) Contract law & tort law.
- D:) Strict liability, intentional torts and negligence torts. These are three types of torts.
- A:) A person was hurt as the result of unreasonable carelessness. This is misconduct negligence.
- D:) Performance, agreement, breach and frustration are needed in order to discharge a contract.
- A:) Yes, small claims court. Any disputes between $1500 and $7000 can be taken to small claims court.