Entrepreneurship & Small Business Management Ch 8 Test Legal Issues Facing Start-Ups

Question 1

Protecting an invention is what type of protection?

Accepted Answer

Patent Laws

Question 2

Certain professions may require you to obtain a _______________ to do a specific job role

Accepted Answer

License

Question 3

Protecting music, software or books is what type of protection?

Accepted Answer

Copyright Laws

Question 4

True or False: Manufacturers don’t need to be familiar with consumer protection laws

Accepted Answer

False

Question 5

A __ is a document that grants an inventor the right to exclude others from making an invention

Accepted Answer

Patent

Question 6

T or F:Trade secrets consist of a formula, device, idea, process, that gives owner an advantage

Accepted Answer

True

Question 7

A provisional patent lasts for up to __________?

Accepted Answer

12 Months

Question 8

A patent is only in place for ______ years before becoming _______.

Accepted Answer

21 / Public Domain

Question 9

A_________________ is a binding legal agreement between two or more persons or parties.

Accepted Answer

Contract

Question 10

_______ is the charging of different prices for a product in different markets to customers

Accepted Answer

Price Discrimination

Question 11

A _____________________determines where a business can be located.

Accepted Answer

Zoning Laws

Question 12

True or False: There are four rules of the Patent and Trademark Office (PTO)

Accepted Answer

True

Question 13

Royalties can be awards for_______________________

Accepted Answer

Infringement

Question 14

Protect things not covered under patents, copyrights or trademarks is what type of protection?

Accepted Answer

Trade Secret Laws

Question 15

Cannot offer a reduced price on product unless it's been offered at the regular price

Accepted Answer

Sales Price

Question 16

T or F: To become a trademarked item, the invention must fit into one of five classes

Accepted Answer

True

Question 17

______________is a group of laws that regulate the ownership and use of creative works.

Accepted Answer

Intellectual Property Laws

Question 18

Collecting funds from employee salaries

Accepted Answer

Payroll Tax

Question 19

Establishes product safety standard and recalls products

Accepted Answer

Consumer Product Safety Commission

Question 20

Truthfully list all ingredients and raw materials used in production

Accepted Answer

The Fair Packaging and Labeling Act

Question 21

The basis of all intellectual property is ________________?

Accepted Answer

Trade Secrets

Question 22

T or F: Theoretically the design and proprietary information are not available to the public.

Accepted Answer

True

Question 23

The three types of contracts are?

Accepted Answer

Void, Valid, Oral

Question 24

True or False: To become a trademarked item,the invention must not contain prior art.

Accepted Answer

True

Question 25

True or False: To become a trademarked item, the invention must be “unobvious”

Accepted Answer

True

Question 26

Illegal way of selling that involves advertising a product at a low price to attract customers

Accepted Answer

Bait and Switch

Question 27

Protecting a logo is what type of protection?

Accepted Answer

Trademark Laws

Question 28

Contributions toward those temporarily without work

Accepted Answer

Federal Unemployment Tax

Question 29

Which of the following laws affect the startup of a business?

Accepted Answer

All of the above

Question 30

Collected funds from business profits

Accepted Answer

Business Income Tax

Question 31

To open a new business you must apply for a________________?

Accepted Answer

Business Permit

Question 32

A____ is a word, symbol, design or color that a business uses to identify itself or product

Accepted Answer

Trademark

Question 33

Creates standards for food and drugs and approves new items

Accepted Answer

The Food and Drug Administration

Question 34

Product usage or can do something it really cannot.

Accepted Answer

Misleading Ads

Question 35

The cost effective way to start a business is to rent equipment or space which is called______?

Accepted Answer

Leasing

Question 36

True or False: To become a trademarked item, the invention must have a utility

Accepted Answer

True

Question 37

Collecting monies from customers buying items

Accepted Answer

Sales Tax

Question 38

Cannot use list price as comparison selling price unless your product has sold for that amount

Accepted Answer

Price Comparison

Question 39

Since the early ___ laws have been enacted that regulate and restrict practices thru trade laws

Accepted Answer

1800's

Entrepreneurship & Small Business Management Ch 8 Test Legal Issues Facing Start-Ups

Questions 39

Entrepreneurship & Small Business Management Ch 8 Test Legal Issues Facing Start-Ups

Questions 39