APP Business Law, Ethics & International Trade

Question 1

Which of the following is a key element required to form a legally binding contract?

Accepted Answer

Consideration

Answer

A written agreement

Answer

Witnesses to the agreement

Answer

An attorney’s approval

Question 2

What is the primary purpose of business ethics in procurement?

Accepted Answer

To ensure fair and responsible purchasing practices

Answer

To speed up vendor selection

Answer

To increase company profits

Answer

To reduce the number of suppliers

Question 3

Which U.S. law prohibits companies from bribing foreign officials to obtain or retain business?

Accepted Answer

Foreign Corrupt Practices Act

Answer

Sherman Antitrust Act

Answer

Uniform Commercial Code

Answer

Trade Expansion Act

Question 4

In international trade, what is a 'tariff'?

Accepted Answer

A tax on imported goods

Answer

A fee charged by suppliers

Answer

A restriction on product usage

Answer

A licensing requirement

Question 5

What is the primary function of the Uniform Commercial Code (UCC)?

Accepted Answer

To harmonize commercial law across states

Answer

To regulate employee contracts

Answer

To provide federal tax rules

Answer

To govern international trade treaties

Question 6

Which ethical issue arises when a buyer accepts gifts from a supplier?

Accepted Answer

Conflict of interest

Answer

Miscommunication

Answer

Cost overrun

Answer

Late delivery