CBA CBA Business Law & Regulatory Compliance 3

Question 1

A business operating in multiple states must typically register as a 'foreign' entity in each state where it:

Accepted Answer

Conducts substantial business activities (transacts business)

Answer

States require foreign qualification when a business 'transacts business' within the state, which generally means maintaining a physical presence, employees, or significant ongoing activities there.

Question 2

Under OSHA's General Duty Clause, employers are required to:

Accepted Answer

Furnish a workplace free from recognized hazards likely to cause death or serious harm

Answer

The General Duty Clause (Section 5(a)(1) of the OSH Act) requires employers to provide a workplace free from recognized hazards, even when no specific OSHA standard addresses that hazard.

Question 3

When a business sells goods, the Uniform Commercial Code (UCC) implies which warranty unless expressly disclaimed?

Accepted Answer

Implied warranty of merchantability

Answer

The UCC automatically implies a warranty of merchantability in sales of goods by merchants, meaning the goods are fit for their ordinary purpose, unless properly disclaimed.

Question 4

Which federal law governs the collection of debts and prohibits abusive, deceptive, or unfair debt collection practices?

Accepted Answer

Fair Debt Collection Practices Act (FDCPA)

Answer

The FDCPA regulates third-party debt collectors and prohibits practices such as harassment, false statements, and unfair collection tactics when collecting consumer debts.

Question 5

A business advisor helping a client structure a partnership should advise that without a written partnership agreement, disputes will be governed by:

Accepted Answer

The Uniform Partnership Act (UPA) default rules of the state

Answer

In the absence of a written partnership agreement, the Uniform Partnership Act as adopted by the state governs the relationship, which may not reflect the partners' actual intentions.

(CBA) Certified Business Advisor Practice Test

(CBA) Certified Business Advisor Practice Test

CBA CBA Business Law & Regulatory Compliance 3