Question 1

Multinational enterprises are companies doing business in several countries simultaneously.

Accepted Answer

A) True 
 B)False  True

Question 2

MagNet,a small United States computer company,started doing business in a foreign country.The foreign country later decided to take over all computer industry,including MagNet's operation.The foreign country paid MagNet adequate compensation in United States dollars.The foreign country's action is called:

Accepted Answer

A) comity. 
B) repatriation. 
C) expropriation. 
D) inflow profit streaming. 
A) comity. 
B) repatriation. 
C) expropriation. 
D) inflow profit streaming. C

Question 3

The European Union is one of the world's most powerful regional associations with 42 member nations as of 2011.

Accepted Answer

A) True 
 B)False  False

Question 4

Trein,Inc. ,a U.S.company entered into an exclusive distributorship agreement with Posty,Inc. ,a Zambian company.This means that Trein will only use Posty to distribute products in Zambia.

Accepted Answer

A) True 
 B)False

Question 5

MagNet is a U.S.company based in Utah.It is negotiating to sell $4 million worth of computer goods to a French company,L'la.L'la is insisting that the contract be governed by the CISG.What are some of the primary differences between the UCC and the CISG?

Accepted Answer

Under the UCC,a contract for the sale of

Question 6

With respect to United States patents and copyrights,GATT:

Accepted Answer

A) expressly excludes controversies involving patent and copyright violations. 
B) will allow the United States to assess tariffs against a country that refuses to honor U.S.copyrights or patents. 
C) imposes sanctions against any country refusing to honor another signatory country's patents or copyrights. 
D) requires retribution to be paid to the United States by any country ignoring U.S.patents or copyrights. 
A) expressly excludes controversies involving patent and copyright violations. 
B) will allow the United States to assess tariffs against a country that refuses to honor U.S.copyrights or patents. 
C) imposes sanctions against any country refusing to honor another signatory country's patents or copyrights. 
D) requires retribution to be paid to the United States by any country ignoring U.S.patents or copyrights.

Question 7

The United States and Argentina have signed the Convention on Contracts for the International Sale of Goods (CISG).Oxtron,Inc. ,a U.S.company,and Leer,an Argentinean company,have entered into a contract under which Oxtron is to ship medical devices to Leer.The contract does not include a choice of law provision.The contract will be governed by:

Accepted Answer

A) the CISG. 
B) the UCC. 
C) the domestic contract law of Argentina. 
D) the domestic contract law of the United States. 
A) the CISG. 
B) the UCC. 
C) the domestic contract law of Argentina. 
D) the domestic contract law of the United States.

Question 8

The Marcel Company is opening an office in Mexico.The cost to obtain electrical service is $500,but the clerk suggests that service could be started faster if an additional $50 is paid,which the clerk will keep.If the Marcel official pays the additional $50:

Accepted Answer

A) he will have violated the Foreign Corrupt Practices Act. 
B) he will not have violated the Foreign Corrupt Practices Act because this would be considered a "grease" or facilitating payment,which is legal. 
C) he will be guilty of violating the Foreign Corrupt Practices Act only if the payment was illegal under the written law of Mexico. 
D) he will be guilty of violating both the Foreign Corrupt Practices Act and the Convention of Combatting Bribery of Foreign Public Officials in International Business Transactions. 
A) he will have violated the Foreign Corrupt Practices Act. 
B) he will not have violated the Foreign Corrupt Practices Act because this would be considered a "grease" or facilitating payment,which is legal. 
C) he will be guilty of violating the Foreign Corrupt Practices Act only if the payment was illegal under the written law of Mexico. 
D) he will be guilty of violating both the Foreign Corrupt Practices Act and the Convention of Combatting Bribery of Foreign Public Officials in International Business Transactions.

Question 9

Identify the term for and discuss the legality of a government's taking of property owned by foreign investors.Discuss what action a company might take if it wants to do business abroad but is concerned about losing its property to a foreign government.

Accepted Answer

A government's taking of property owned

Question 10

Kjell is the vice president of international sales for Oxtren,Inc,a U.S.company.To secure a multimillion dollar contract for his company,Kjell paid a Mongolian governmental officer $10,000.Kjell:

Accepted Answer

A) has violated the Foreign Corrupt Practices Act. 
B) has not violated the Foreign Corrupt Practice Act because the payment was a grease payment. 
C) has not violated the Foreign Corrupt Practices Act because the government official was from Mongolia,not the United States. 
D) has not done anything illegal because Congress has not ratified the Convention of Combatting Bribery of Foreign Public Officials in International Transactions. 
A) has violated the Foreign Corrupt Practices Act. 
B) has not violated the Foreign Corrupt Practice Act because the payment was a grease payment. 
C) has not violated the Foreign Corrupt Practices Act because the government official was from Mongolia,not the United States. 
D) has not done anything illegal because Congress has not ratified the Convention of Combatting Bribery of Foreign Public Officials in International Transactions.

Question 11

The Presidents of Oxtron,Inc. ,a U.S.company,and Dunka,Inc.a German company,met in Munich,Germany.Oxtron and Dunka are direct competitors in over-the-counter medicines.The presidents agree to fix prices on their major products.This agreement may violate U.S.antitrust law even though the agreement was made in Germany.

Accepted Answer

A) True 
 B)False

Question 12

If a foreign company "dumps" goods on the United States market:

Accepted Answer

A) the goods will be considered illegal goods and not be allowed to be sold in the United States. 
B) the United States will issue trade sanctions against the country that allowed the dumping. 
C) a "dumping duty" will be imposed on the dumped goods if the Commerce Department determines the goods are being sold at less than fair value and that this harms an American industry. 
D) All the above are correct. 
A) the goods will be considered illegal goods and not be allowed to be sold in the United States. 
B) the United States will issue trade sanctions against the country that allowed the dumping. 
C) a "dumping duty" will be imposed on the dumped goods if the Commerce Department determines the goods are being sold at less than fair value and that this harms an American industry. 
D) All the above are correct.

Question 13

Explain what the General Agreement on Tariffs and Trade (GATT)is and give pro and con arguments concerning this agreement.

Accepted Answer

GATT refers to the General Agreement on

Question 14

The United States and Singapore have signed the Convention on Contracts for the International Sale of Goods (CISG).Notren,Inc. ,a U.S.company,and SWT,a Singapore company,have entered into a contract under which SWT is to ship party supplies to Notren.One of the terms of the contract states,"The validity and performance of this contract will be governed by the Uniform Commercial Code (UCC)of the state of New York,not the Convention of the International Sale of Goods (CISG)." The contract will be governed by the:

Accepted Answer

A) CISG. 
B) Uniform Commercial Code of New York. 
C) common law. 
D) World Trade Law. 
A) CISG. 
B) Uniform Commercial Code of New York. 
C) common law. 
D) World Trade Law.

Question 15

When considering both imports and exports,the country trading the most goods with the United States is:

Accepted Answer

A) Canada. 
B) China. 
C) Japan. 
D) Mexico. 
A) Canada. 
B) China. 
C) Japan. 
D) Mexico.

Question 16

The primary goal of the North American Free Trade Agreement (NAFTA)is to:

Accepted Answer

A) allow Canada,the United States,and Mexico to compete as a common economic entity against other countries in the world. 
B) allow for the free and unrestricted movement of people from one country to another to improve the labor market of all three counties. 
C) eliminate almost all trade barriers between the three nations. 
D) All the above are correct. 
A) allow Canada,the United States,and Mexico to compete as a common economic entity against other countries in the world. 
B) allow for the free and unrestricted movement of people from one country to another to improve the labor market of all three counties. 
C) eliminate almost all trade barriers between the three nations. 
D) All the above are correct.

Question 17

Under European Union law,any agreement,contract,or discussion that distorts competition within European Union countries is illegal.

Accepted Answer

A) True 
 B)False

Question 18

MagNet is a U.S.company based in Utah.It is negotiating to sell $4 million worth of computer goods to a French company,Legran.MagNet's attorney suggests that payment be by a letter of credit.What is a letter of credit and why does MagNet's attorney recommend payment by letter of credit?

Accepted Answer

A letter of credit is a commercial devic

Question 19

Although the United States government officially signed the GATT treaty,the United States Congress has refused to ratify the agreement.

Accepted Answer

A) True 
 B)False

Question 20

For manufactured goods,the United States and European Union impose an average tariff of ________ percent,and major trading partners around the world impose tariffs of ________ percent for identical items.

Accepted Answer

A) 10;5 
B) less than 4;10 to 30 
C) 25;39 to 70 
D) 10 to 30;less than 4 
A) 10;5 
B) less than 4;10 to 30 
C) 25;39 to 70 
D) 10 to 30;less than 4

Exam 8: International Law

Multinational enterprises are companies doing business in several countries simultaneously.

The European Union is one of the world's most powerful regional associations with 42 member nations as of 2011.

Trein,Inc. ,a U.S.company entered into an exclusive distributorship agreement with Posty,Inc. ,a Zambian company.This means that Trein will only use Posty to distribute products in Zambia.

MagNet is a U.S.company based in Utah.It is negotiating to sell $4 million worth of computer goods to a French company,L'la.L'la is insisting that the contract be governed by the CISG.What are some of the primary differences between the UCC and the CISG?

With respect to United States patents and copyrights,GATT:

The Marcel Company is opening an office in Mexico.The cost to obtain electrical service is $500,but the clerk suggests that service could be started faster if an additional $50 is paid,which the clerk will keep.If the Marcel official pays the additional $50:

Identify the term for and discuss the legality of a government's taking of property owned by foreign investors.Discuss what action a company might take if it wants to do business abroad but is concerned about losing its property to a foreign government.

Kjell is the vice president of international sales for Oxtren,Inc,a U.S.company.To secure a multimillion dollar contract for his company,Kjell paid a Mongolian governmental officer $10,000.Kjell:

If a foreign company "dumps" goods on the United States market:

Explain what the General Agreement on Tariffs and Trade (GATT)is and give pro and con arguments concerning this agreement.

When considering both imports and exports,the country trading the most goods with the United States is:

The primary goal of the North American Free Trade Agreement (NAFTA)is to:

Under European Union law,any agreement,contract,or discussion that distorts competition within European Union countries is illegal.

MagNet is a U.S.company based in Utah.It is negotiating to sell $4 million worth of computer goods to a French company,Legran.MagNet's attorney suggests that payment be by a letter of credit.What is a letter of credit and why does MagNet's attorney recommend payment by letter of credit?

Although the United States government officially signed the GATT treaty,the United States Congress has refused to ratify the agreement.

For manufactured goods,the United States and European Union impose an average tariff of ________ percent,and major trading partners around the world impose tariffs of ________ percent for identical items.

Introduction to Law

Business Ethics and Social Responsibility

Dispute Resolution

Common Law, Statutory Law, and Administrative Law

Constitutional Law

Torts and Product Liability

Crime

Introduction to Contracts

Agreement

Consideration

Legality

Capacity and Consent

Written Contracts

Third parties

Performance and Discharge

Remedies

practical Contracts

Introduction to Sales

Ownership and Warranties

Performance and Remedies

Negotiable Instruments

Secured Transactions

Bankruptcy

Agency

Employment and Labor Law

Employment and Discrimination

Starting a Business

Corporations

Government Regulations:Securities and Antitrust

Consumer Protection

Cyberlaw

Intellectual Property

Real and Personal Property

Filters

For manufactured goods,the United States and European Union impose an average tariff of percent,and major trading partners around the world impose tariffs of percent for identical items.