Test 4/Final Review SAMPLE TEST
Spring 2014
1.Dizzy is not Edwina's agent but enters into a contract with Frida on Edwina's behalf. Edwina approve the contract.
This is
a. an agency by agreement.
b. an agency by estoppel.
c. an agency by ratification.
d. not the creation of an agency relationship.
2.Based on Bluto's conduct, Cass believes that Dee has the authority to act on Bluto's behalf even though Dee has no actual authority to do so. Dee has
a. apparent authority.
b. equal authority.
c. express authority.
d. implied authority.
3. Geoff has a written agreement with Huck. To accomplish the objectives of this relationship, Geoff's authority can be implied
a. by contradiction.
b. by custom.
c. by lack of reason.
d.
…show more content…
d. only Wyoming and Florida.
21.Boutique Corporation would like to change its corporate status to avoid income taxes at the corporate level. To qualify, the shareholders must not be
a. corporations.
b. estates.
c. individuals.
d. partnerships.
22.Niche Stores, Inc., must hold a shareholders' meeting
a. once a month.
b. once a year.
c. once every two years.
d. only when it is called by the board of directors.
23.In all states, Sports Fitness Club Company and other corporations can pay dividends from
a. gross profits.
b. net profits.
c. retained earnings.
d. surplus.
24.Orin is a shareholder of Pinkwater Corporation. In some states, Orin might incur personal liability for unpaid
Pinkwater debts if he
a. accepts a dividend knowing that it was paid from retained earnings.
b. buys stock for less than its fair-market value.
c. fails to fulfill his fiduciary duty to the majority shareholders.
d. sells his shares.
25.Bret and Courtney form Delite Donuts, Inc. Ultimate responsibility for policy decisions necessary to the management of corporate affairs rests with Delite's
a. board of directors.
b. incorporators.
c. officers.
d. shareholders.
26.Gladys is a shareholder of Frozen Yogurt, Inc. As a shareholder, Gladys must approve
a. amending the bylaws.
b. declaring a corporate dividend.
c. hiring a chief executive officer.
d. issuing additional shares.
27.Eager Beaver Corporation fails to adopt bylaws. Under this
25. In a science fiction movie, an officer is implementing an experimental process to prevent a catastrophic geologic event affecting a primitive indigenous alien population. A crew of a starship vessel is willing to save him; however, environmental conditions prevent simple extraction. The commander refuses to let the crew extract the officer, proclaiming “the needs of the many outweigh the needs of the few, or in this case, one.” The commander’s conclusion is based on which moral theory?
(TCO 2) A statement that reports inflows and outflows of cash during the accounting period in the categories of operations, investing, and financing, is called a(an):
(TCO 4) Which of the following is not one of the guidelines for administering discipline?
The law of agency is a consensual relationship created by contract or by law where one party, the principal, grants authority for another party, the agent, to act on behalf of and under the control of the principal to deal with a third party.
Claudio is okay with that because he can fill out the form without help. However, when he gets to the blank that says “Middle Name” he doesn’t know what to do. Claudio doesn’t have a middle name. When he asks a paralegal at the ABC Legal Clinic what to do with this blank, the paralegal
|Why is continuing your education so important? |I personally feel that a person always as room to grow. By continuing |
C.Her employing law firm can call the people on the list and offer to represent them.
California Produce Company hires Drew to work on California Produce’s shipping dock, checking outgoing loads and dispatching the company’s drivers. With respect to California Produce, Drew is most likely
In April of 1979, a U.S. court finds the Beatle 's former manager _________ guilty of tax evasion and he is sentenced to serve two months of a two-year sentence in prison.
You’re vomiting and you can’t keep anything down, even liquids. You could be at risk of dehydration and this could become a medical emergency. Your body must have fluids to work well and your doctor may need to give them to you through a vein.
Pam is an agent for Refined Chemicals Corporation. Refined Chemicals owes Pam the duty of
A member of the AICPA owns an interest in a separate business that performs tax services. If the member does not control the business, who must comply with the Code of Professional Conduct?
We agree with Laurel Creek that Gilbert created an actual agency relationship between him and his wife. According to his sister, Rachel, Gilbert specifically asked that his wife be brought to the nursing home so that she could sign the admissions documents for him, and Anna acted upon that delegation of authority and signed the admissions papers. This is consistent with the creation of actual authority as described in the Restatement (Third) of Agency § 2.01, comment c (2006). The Restatement explains the rationale for the creation of actual agency in three steps. First, “the principal manifests assent to be affected by the agent’s action.” In the instant case, Gilbert asked that Anna come to the hospital to sign the papers for him. Second, “the agent’s actions establish the agent’s consent to act on the principal’s behalf.” Here, Anna signed all the admissions papers per her husband’s request and therefore consented to act on Gilbert’s behalf. Third, by acting within such authority, the agent affects the principal’s legal relations with third parties. Clearly here, Anna’s actions affected Gilbert’s relations with Laurel Creek, a third party.
B ) A theory is an integrated explanation of numerous hypotheses, each supported by a large body of observations and experiments.
uses budgeted fleet hours to allocate variable manufacturing overhead. The following information pertains to the company 's manufacturing overhead data: