"The source of law that is foundational in the US legal system :a.the common law b. statutory
law c. constitutional law d. administrative law
" "Law is the command of a sovereign" represents what school of legal thought?a. civil law b.
constitutional law c. natural law d. ecofeminist law e. positive law"
Which of the following kinds of law are most often found in state law rather than federal law? a.
torts and contracts b. bankruptcy c. maritime law d. international law
"5. Wolfe is a state court judge in California. In the case of Riddick v. Clouse, which involves a
contract dispute, Wolfe must follow precedent. She establishes a logical relationship between the
Riddick case and a case decided by the California Supreme Court, Zhu v. Patel Enterprises,
Inc.She compares the facts of Riddick to the facts in Zhu and to the extent the facts are similar,
applies the same rule to reach her decision. This is a. deductive reasoning B. faulty reasoning c.
linear reasoning d. reasoning by analogy"
Moore is a state court judge in Colorado. In the case of Cassidy v. Seawell, also a contract
dispute, there is no Colorado Supreme Court or court of appeals decision that sets forth a rule
that could be applied. However, the California case of Zhu v. Patel Enterprises, Inc. is "very
close" on the facts and sets forth a rule of law that could be applied to the Cassidy case. What
process must Moore follow in considering whether to use the Zhu case as precedent? a. Moore is
free to decide the case any way he wants, but he may not look at decisions and reasons in similar
cases from other states. b. Moore must wait for the Colorado legislature and the governor to pass
a law that addresses the issues raised in the Cassidy case. c. Moore must follow the California
case if that is the best precedent. d. Moore may follow the California case if he believes that it
offers the best reasoning for a similar case. S E L F -T E S T A N S
Milton Friedman would have been most likely to agree to which of the following statements? a.
The purpose of the corporation is to find a path to sustainable corporate profits by paying careful
attention to key stakeholders. b. The business of business is business. c. The CEO and the board
should have a single-minded focus on delivering maximum value to shareholders of the business.
d. All is fair in love, war, and business.
Milton Friedman meant (using the material quoted in this chapter) that companies should a. Find
a path to sustainable profits by looking at the interconnected needs and desires of all the
stakeholders. b. Always remember that the business of business is business. c. Remind the CEO
that he or she has one duty: to maximize shareholder wealth by any means possible. d. Maximize
shareholder wealth by engaging in open competition without fraud or deceit