Question1. An employer has a duty to indemnify, or compensate an employee for any losses suffered as a result of authorized legal acts that the employee performs under the employment agreement.

True
False

Question 2. Title VII of the 1964 Civil Rights Act makes it illegal for an employer to discriminate based on an individual's race, color, religion, sex, or national origin in any term or condition of employment.

True
False

Question 3. Termination of an agency by operation of law occurs when

• either the principal or agent dies.
• the agent becomes bankrupt.
• the principal becomes insolvent.
• All of these

Question 4. In the case Christopher v. Smithkline Beecham Corporation, in which an employee sued for overtime under the Fair Labor Standards Act, the Supreme Court concluded:

• Christopher was an independent contractor.
• Christopher was discriminated against because of his age.
• Not all salespeople actually sell products.
• The FLSA does not apply to the pharmaceutical industry.

Question 5. The U.S. has more laws protecting workers than any other industrialized nation including Canada and Japan.

True
False

Question 6. Mariel hires Andrew as manager of her sporting goods store. Nothing is said to Andrew about hiring other employees, but the store is understaffed, so Andrew hires two clerks. Andrew has what type of authority to hire the clerks?

• Actual authority
• Apparent authority
• Ratified authority
• No authority

Question 7. Peter tells Annabel to mark down all products 15% for a weekend sale. Annabel, correctly thinking that some items are so in demand they will still sell with only a 5% discount, sells some products with a 5% discount, some with 15%, and some with no discount at all. She keeps the extra as a bonus, figuring that Peter is expecting regular price minus 15%. All the inventory sells in the weekend sale. Which of the following is true?

• Annabel has breached her duty of obedience.
• Annabel has breached her duty of loyalty.
• Peter can recover the "bonus" from Annabel.
• Peter can fire Annabel.
• All of these

Question 8. While driving the delivery van for Pizza Palace, Amber negligently crashes into a car driven by Terrence. At the time of the crash, Amber had borrowed the van to go visit her sick mother. Which statement best describes the situation?

• Amber is liable to Terrence.
• Pizza Palace is liable to Terrence.
• Both Amber and Pizza Palace are liable to Terrence.
• Pizza Palace is not liable as Amber was on a detour.

Question 9. State employment laws cannot forbid discrimination based on sexual orientation because discrimination based on sexual orientation is not expressly forbidden under federal civil rights law.

True
False

Question 10. An employer has a duty to indemnify, or compensate an employee for any losses suffered as a result of authorized legal acts that the employee performs under the employment agreement.

True
False