Question: One of your friends asks you to explain the difference between a license and an easement in gross. Your response is…
A license is the right to enter property for a particular purpose – an easement in gross is the right to enter property to extract something from the property.
A license is the right to enter property for a particular purpose – an easement in gross is the right to enter property in order to have access to a road.
An easement in gross is the right to enter property for a particular purpose – a license is the right to enter property to extract something from the property.
There is no difference.
Answer: A license is the right to enter property for a particular purpose – an easement in gross is the right to enter property in order to have access to a road.
Question: A real dip in your self person, you chop down a tree, make paper that you use to create a stock certificate. Which of the following is true?
You have converted the tree wood to intangible personal property because the stock certificate is intangible personal property.
It is impossible to convert real property into personal property.
You have converted the tree wood to paper which is tangible personal property.
Because the stock certificate was once part of a tree, it is considered real property.
Answer: You have converted the tree wood to paper which is tangible personal property.
Question: You are considering two bonds. Bond A has a 9% annual coupon while Bond B has a 6% annual coupon. Both bonds have a 7% yield to maturity, and the YTM is expected to remain constant. Which of the following statements is CORRECT?
a. The price of Bond B will decrease over time, but the price of Bond A will increase over time.
b. The prices of both bonds will remain unchanged.
c. The price of Bond A will decrease over time, but the price of Bond B will increase over time.
d. The prices of both bonds will increase by 7% per year.
e. The prices of both bonds will increase over time, but the price of Bond A will increase at a faster rate.
Answer Options:
a. False
b. False
c. True
d. False
e. False
Answer: c. True
Question: The purpose of an arbitration clause in a contract is which of the following?
A means of resolving contract disputes without litigation.
A mandatory provision in all contracts.
A contract provision that requires parties to litigate disputes that may arise.
A contract provision that excuses a party from certain liability.
Answer: A means of resolving contract disputes without litigation.
Question: Which food amounts “count as 1 ounce-equivalent of grains”? [Note: There are more than one correct answer.]
Answer Options:
[A] 5 whole wheat crackers
[B] 1 cup cooked oatmeal/rice/pasta
[C] 1 6-inch corn tortilla
[D] 3 cups popped popcorn
[E] 1 English muffin
Correct Answer
1 cup cooked oatmeal/rice/pasta
1 6-inch corn tortilla
3 cups popped popcorn
Answer:
Question: Two individuals decide to go into business together. Which of the following business entities would not be appropriate?
Answer Options:
Sole proprietorship
Partnership
LLC
Corporation
Answer: Sole proprietorship
Question: Which of the following is not an express power reserved for the Federal government – meaning that states have the authority to enact their own laws?
Answer Options:
Copyrights.
Patents.
Bankruptcy.
Public safety and welfare.
Answer: Public safety and welfare.
Question: Limited liability with respect to an LLC means which of the following?
The member of the LLC is responsible for none of the LLC debt and is entitled to receive his or her contribution to the LLC back.
None of the alternatives are correct.
The member of the LLC is responsible for all LLC debt.
The member of the LLC is responsible for the LLC debt only up to the amount of their contribution.
Answer: The member of the LLC is responsible for the LLC debt only up to the amount of their contribution.
Question: A 10-year corporate bond has an annual coupon of 9%. The bond is currently selling at par ($1,000). Which of the following statements is CORRECT?
a. The bond’s expected capital gains yield is zero.
b. The bond’s yield to maturity is above 9%.
c. The bond’s current yield is above 9%.
d. If the bond’s yield to maturity declines, the bond will sell at a discount.
e. The bond’s current yield is less than its expected capital gains yield.
Answer Options:
a. True
b. False
c. False
d. False
e. False
Answer: a. True
Question: On the floor of a shed on Goldie Locke’s property, there is a stack of logs. Which of the following is true?
Answer Options:
Since the logs were part of the land, they are always considered to be real property.
The logs are considered real property until they are used – at which time they are considered personal property.
Because they are detached from the ground, the logs are personal property.
Answer: Because they are detached from the ground, the logs are personal property.
Question: At a meeting, the regional manager informs the store managers that none of the merchandise will be discounted. One manager, believing that discounts are good for business, decides to discount candies by 10%. When the regional manager discovers this, he instructs the store manager to insist that all customers who purchased the candies pay the additional 10% or return the candies. Which of the following is true?
Answer: The customers can keep the candies because the manager had the apparent authority to grant the discount.