In response to concerns about the lack of transparency in financial accounting, Congress passed a new law called the:

Question 2      

Which if the following is not a legal right of stockholders?

To vote on who will become chief executive officer (CEO).

Question 3      

The main reason that American executives are paid so much is:

Question 4

The Securities and Exchange Commission outlaws:

Question 5

Which of the following is not a function of board committees?

Question 6


A reason for institutions becoming more assertive in promoting the interests of their member investors is:



Question 7

The activism of institutional investors in other countries has been spearheaded by:

Question 8


Institutional investors are sometimes referred to as:

Question 9


The paramount duty of the board of directors of a public corporation is to:

Question 10


Which of the following arguments opposes the idea of high executive pay?

Question 11


In 2010, median compensation for directors at the largest U.S. corporations was (rounded to the nearest $10):

Question 12


Which of the following is not an argument for high executive compensation?

Question 13


The mission of the Securities and Exchange Commission (SEC) is to:

Question 14


The board committee that administers and approves salaries and benefits of high-level managers in a company is called the:

Question 15


Corporate governance involves the exercise of control over a company’s:

Question 16


Businesses can take a number of measures to respond voluntarily to consumer demands.  Which of the following is an example of such a measure?

Question 17



The act that requires lenders to inform borrowers of the annual rate of interest to be charged, plus related fees and services charges is called:


Question 18


Online shoppers have always been concerned that:

Question 19

Under proposals to establish uniform federal standards for determining liability:

Question 20


A prime social responsibility of business is to safeguard consumers:

Question 21


Which organization brings together 300 nonprofit groups to espouse the consumer viewpoint?



Question 22

The law requiring that toys and infant products be tested before sale is called the:

Question 23


Which of the following limits the collection of information online from and about children under the age of 13?

Question 24

Consumers have become more dependent on businesses for product quality because:

Question 25



One alternative to product liability lawsuits is called:


Question 26

In the United States, which of the following agencies enforces the laws prohibiting deceptive advertising?


Question 27



Under what legal doctrine does a firm bear legal responsibility for injuries caused by something it made or sold, whether or not it was negligent or breached a warranty?

Question 28



Advertising that is targeted to particular customers, based on their observed online behavior, is called:

Question 29

An identifying marker placed on a user’s computer hard drive during visits in order to identify the user during each subsequent visit and to build profiles of their behavior over time is called a:

Question 30


In some cases, businesses have banded together to agree on how they will treat their customers.  This is called:

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