1.) The reasons for Anti-Trust laws are to (mark all that apply)

A. protect consumers from high prices

B. to prevent corporations from becoming to diversified

C. to allow new businesses into the market place

D. keep the “robber barons” from resurfacing.

2.) The Heinz and Kraft merger

A. may be allowed by the FAA

B. may be allowed by the NEA

C. may be allowed by the NRA

D. may be allowed by the FTC

3.) Insurance companies deal with risk through risk dodging.

A. True

B. False

4.) Greta applies for a homeowners’ policy with Homewood Insurance Company through Ivy, an insurance agent. As a general rule, Homewood is bound by

A. Ivy’s acts.

B. Greta’s acts

C. the acts of both Greta and Ivy.

D. the acts of neither Greta nor Ivy.

5.) Persons who share ownership rights simultaneously in particular property are concurrent owners.

A. True

B. False

6.) T.J. owns a Miata. T.J. can use the car or dispose of it as he wishes. When T.J. dies, the car will descend to his son. T.J. is an owner in

A. joint tenancy.

B. tenancy in common.

C. fee simple.

D. community.

7.) For delivery to occur, the bailee must be given exclusive possession and control over the property.

A. True

B. False

8.) One of the elements of a bailment is

A. tangible, not intangible, items.

B. non-exclusive possession of the bailed property by the bailee.

C. an agreement for the return or disposal of the bailed property.

D. conversion of the bailed property by the bailee.

9.) Owen owns a farm in Pennsylvania. Owen’s brother Quentin owns the subsurface rights to the farm. Either brother can pass title to what he owns

A. without the other’s consent.

B. only with the other’s consent.

C. only when the other also passes title to what he owns.

D. only by first offering to buy out the other’s rights.

10.) The most common type of property ownership today is the fee simple.

A. true

B. False

11.) Under the covenant of quiet enjoyment, the tenant promises that the tenant will not interfere with the landlord’s quiet enjoyment of the lease.

A. True

B. False

12.) Sergio rents an apartment from Taylor for a stated period of one year. The lease does not include a provision for renewal or extension. At the end of the lease term, possession of the apartment most likely

A. remains with Sergio absent notice by the tenant.

B. Remains with Sergio until notice by Taylor.

C. remains with Sergio under an implied renewal or extension provision.

D. returns to Taylor.

13.) Under intestacy laws, if no heirs exist, then the property of the estate reverts to the state.

A. True

B. False

14.) Ruth executes a will naming her nephew Stan as sole beneficiary. One year later, Ruth executes another will, naming her niece Tammy as sole beneficiary, but does not state that she is revoking the previous will. On Ruth’s death

A. Stan and Tammy will share the estate in equal shares.

B. Stan will be the sole heir.

C. Tammy will be the sole heir.

D. the estate will pass as if there were no will.

15.) The Fourth Amendment prohibits the use of search warrants by administrative agencies

A. True

B. False

16.) Tim is a witness in a controversy involving the U.S. Bureau of Tobacco and Firearms. Tim can be compelled to appear before an administrative law judge if he is served with

A. an order for specific performance

B. an executive order.

C. a subpoena.

D. a search warrant.

17.) Antitrust laws are direct descendants of common law actions intended to limit agreements to eliminate competition.

A. True

B. False

18.) The Association of Organic Food Growers, which does not include all organic farmers and ranchers, refuses to deal with any parties who do not carry the products of its members. This group boycott is

A. a situation that neither restrains trade nor harms competition.

B. not within the scope of the Sherman Act.

C. a per se violation of antitrust law.

D. subject to analysis under the rule of reason.

19.) In direct exporting, a U.S. company sets up a specialized marketing organization in a foreign market by appointing a foreign agent.

A. True

B. False

20.) A body of law—formed as a result of international customs, treaties, and organizations—that governs relations among or between nations is

A. space law.

B. universal law.

C. international law.

D. national law.