Q&A Hero

Q: In many corporations, the responsibility for profit making is: A.Centralized. B.Structured. C.Decentralized. D.Monopolistic.

Q: The most flexible method of land description, capable of describing even the most irregular of parcels, can be described as a very precise, compass-directed walk around the boundary of a parcel. This method is commonly referred to as: A. metes and bounds B. subdivision plat lot and block number C. government rectangular survey D. tax parcel number

Q: Business ethics reflects elements of: A.Formalism only. B.Consequentialism only. C.Both fundamentalism and consequentialism with a focus on formalism. D.Both fundamentalism and consequentialism with a focus on consequentialism.

Q: One of the most important requirements of a land description is for it to be unambiguous. Which of the following methods of property description is the most unambiguous and is appropriate for use in legal documents? A. Street Address B. Tax parcel number C. Reference to prominent features of the land (e.g. monuments, river banks, roads) D. Metes and bounds

Q: Opponents of the Civil Rights Act of 1964, in an attempt to prevent its passing, inserted a prohibition against ________ discrimination in employment, thinking that such discrimination was acceptable and that many others agreed with them: A.Age. B.Religious. C.Sex. D.Race.

Q: Recognizing that only recent conveyances alter the status of title, states have established laws that set limits on how far back a title search must go. These laws are commonly referred to as: A. Statute of Frauds B. recording statutes C. encroachments D. marketable title laws

Q: Potential harm you may cause to individuals and society will best be deterred by: A.The threat of legal punishment. B.The sanctions of professional or corporate codes. C.Social relativism. D.A and B.

Q: Unlike other forms of evidence of title, title insurance guards the grantee against certain risks. However, there are a number of important limits to title insurance. Which of the following is an example of the limits to title insurance? A. It does not protect the grantee from the threat of physical damage to the property. B. It does not protect a grantee against the legal costs of defending the title C. It does not protect a grantee against loss of the property in case of an unsuccessful title defense. D. It does not protect against legal attack on the owner's title arising from a claim that diminishes the owner's rights of use.

Q: When facing an ethical dilemma, all but which of the following questions should you ask yourself: A.Have I thought about whether the action I take is right or wrong? B.Will I be proud to tell of my actions to my family? C.Am I willing for everyone to act as I am thinking of acting? D.Will my decision cause harm to myself?

Q: A law requiring any contract conveying a real property interest to be in writing in order to be enforceable is a modern application of the: A. Statute of Frauds B. doctrine of constructive notice C. habendum clause D. actual notice

Q: Ethical formalists maintain that: A.Harm to an individual is allowable as long as it serves a greater good. B.Values are situational and change is based on circumstance. C.Harm to individual rights is never justified by an increase in organizational or common good. D.The good of the many always supersedes the good of the few.

Q: A contract for sale of real estate usually calls for the seller to provide evidence of title as a requisite to completing the sale. Today, the predominant medium through which a seller meets this requirement is by providing: A. only a title abstract. B. only an attorney's opinion of title. C. only a title insurance commitment. D. only a seller's disclosure

Q: Making decisions to promote the common good is a significant principle of ethical: A.Existentialism. B.Daoism. C.Utilitarianism. D.Self-promotion.

Q: Once a document conveying an interest in real property is placed in the public records it is binding on the public, whether or not they make an effort to learn of it. Based on the common law tradition, this policy is known as the: A. Statute of Frauds B. doctrine of constructive notice C. habendum clause D. actual notice

Q: Are not believed that immoral behavior was often the result of: A.Apathy. B.Ignorance. C.Thoughtlessness. D.Selfishness.

Q: An owner of land may involuntarily and unknowingly give up the rights to land. When a fee simple interest is conveyed to a new owner without a deed and without the consent or knowledge of the original owner, this is said to be conveyed by: A. Prescription B. Adverse possession C. Accretion D. Reliction

Q: The ultimate source of ethical values for business decision making comes from: A.Legislation. B.The corporate code of ethics. C.The individual. D.The example set by top executives.

Q: When a landowner subdivides land in a way that causes a parcel to be landlocked, it is possible for property to be voluntarily conveyed without a deed. If the landlocked parcel has no prior path of access, which of the following types of easements will automatically be created to make the land useful? A. Easement by prior use B. Easement of necessity C. Easement by estoppel D. Dedication

Q: The legal requirement of honoring confidences by professionals contains: A.Formalist ethical values. B.Consequentialist ethical values. C.Both A and B. D.None of the above, legal requirements have no overlap with ethical values.

Q: While the vast majority of conveyances of real property are private grants through a deed, there are multiple ways in which voluntary conveyance can occur without a deed. Which of the following types of easements can occur if a landowner gives an adjacent landowner permission to depend on her land? (E.g. A landowner may give a neighbor permission to rely on sewer access or drainage across his or her land.) A. Easement by prior use B. Easement of necessity C. Easement by estoppel D. Dedication

Q: The "veil of ignorance" means to think ethically you must: A.Lose the assumption that what you personally want or need is necessarily morally correct. B.Recognize that one cannot make valid ethical decisions unless they are totally unaware of the other parties involved so as to eliminate bias. C.Recognize that one cannot make valid ethical decisions unless they are totally unaware of the circumstances leading to the ethical dilemma so as not to be influenced by unchangeable history. D.Put yourself in the position of those affected by your decision and act as you'd have wanted them to act.

Q: Who said, "It is the preoccupation with possession, more than anything else, that prevents men from living freely": A.Bertrand A. Russell. B.Karl Marx. C.Samuel Adams. D.Justice Potter Stewart.

Q: At the death of a property owner, property will convey either in accordance with a will or without a will. If a will dictates the distribution of the decedent's real property, the property is said to be: A. patented B. devised C. conveyed by the law of descent D. dedicated

Q: Stakeholder theory suggests that through its managers, an ethical corporation will do each of the following except: A.Adopt communication methods appropriate to the sophistication levels of the various stakeholders. B.Work actively and cooperatively to reduce the risk of corporate harm to stakeholders and compensate them when harm occurs. C.Take unacceptable risks only when the risk has a reasonable likelihood of enriching the stakeholders net worth substantially. D.Allow stakeholders to communicate with decision makers and inform stakeholders about risks that may arise from corporate action.

Q: While several kinds of real property conveyances result from events beyond the control of the grantor, the majority of conveyances are voluntary through a deed. Which of the following is an example of a voluntary conveyance of real property with a deed? A. Patent B. Probate C. Condemnation D. Implied Easement

Q: In which situation is there a conflict of interest: A.A judge who occasionally shops in a store that is involved in a case before the judge. B.A real estate agent representing the buyer and seller of a house with permission from the buyer and seller. C.An agent working for a competitor of the agent's principal. D.A bank regulator using a credit union.

Q: Considered a "questionable conveyance of title" by most courts, which of the following types of deeds is worded to imply no claim of title, but rather only convey what interest the grantor actually has? (Hint: This type of deed may be used by a developer to convey certain lands of a subdivision to the local government through dedication.) A. General warranty deed B. Special warranty deed C. Deed of bargain and sale D. Quitclaim deed

Q: Who, among the following, does not have a duty of confidentiality: A.An attorney. B.A real estate broker. C.A physician. D.A mechanic.

Q: Although deeds can only deliver what a grantor actually owns, they can still vary in "quality." Which of the following types of deeds is considered to be the "highest quality" because it contains the full set of legal promises the grantor can make? A. General warranty deed B. Special warranty deed C. Deed of bargain and sale D. Quitclaim deed

Q: Mike is driving 15 miles over the posted speed limit and is pulled over by Trooper Tom. When Trooper Tom approaches the car he hears Kathy in the front seat moaning in pain. Mike tells Trooper Tom that Kathy is in labor and that he's rushing to the hospital. Trooper Tom never-the-less issues a ticket. Trooper Tom's ethical approach in this matter is: A.Utilitarianism. B.Relativism. C.The Protestant Work Ethic D.Formalism.

Q: Which of the following clauses contained in a deed defines or limits the type of interest being conveyed? A. Recital of consideration B. Words of conveyance C. Covenant D. Habendum clause

Q: Economists urge that retail price increases after product shortages caused by catastrophic events such as the gas shortage after hurricane Katrina: A.Should be capped to prevent gouging. B.Is short term so it is an event not worth discussing. C.Must be followed with a similar period of below cost sales to even out costs and provide fairness to the public. D.Helps to ensure that those drivers who need and want gasoline the most will be able to get it during the shortage.

Q: The covenants in a deed are the most important differences among types of deeds. Which of the following covenants promises that the grantor truly has good title and the right to convey it? A. Covenant of seizin B. Covenant against encumbrances C. Covenant of quiet enjoyment D. Exceptions and reservation clause

Q: The type of deed offered by the grantor is communicated through a phrase such as "does herby grant, bargain, sell and convey unto . . ." This clause is referred to as the: A. recital of consideration B. words of conveyance C. covenant D. habendum clause

Q: Which of the following is not an ethical rule of legal regulation: A.Respect for the liberty and rights of others. B.Exercising due care. C.You are your brother's keeper. D.Acting in good faith.

Q: Which of the following is a source of values for business ethics: A.Legal regulation. B.Professional codes of ethics. C.Individual values. D.All of the above.

Q: A deed is a special form of written contract used to convey a permanent interest in real property. Unlike most contracts, a deed requires: A. both parties to be legally competent and of legal majority age. B. only the grantee to be legally competent and of legal majority age. C. only the grantor to be legally competent and of legal majority age. D. both parties to make promises to perform.

Q: Approximately how much money does the tobacco industry spend annually on tobacco advertising? A.$110 million. B.$113 million. C.$10 billion. D.$13 billion.

Q: Chapter 3 " Conveying Real Property Interests

Q: Many states have enacted laws that determine the flow of ownership rights of real property in the case of the owner's death. For example, in the state of Florida if a family residence is declared a homestead and the owner of the property passes away, the surviving spouse and children will have automatic interests in the property. This type of estate is more commonly referred to as:A. Legal life estate with remainder interestB. Ordinary life estate with remainder interestC. Fee simple conditional interestD. Periodic tenancy

Q: Adam Smith's book, The Wealth of Nations, recognized that: A.There is a moral element in human nature that goes beyond self interest. B.Greed is good. C.Self regulation cannot succeed because of man's inherent self interests. D.Overregulation cannot succeed because of man's inherent distrust of government.

Q: Jackall's organizational ethic has all but which of the following: A.Administrative hierarchies. B.Standardized work procedures. C.Uniform policies. D.Democratic control.

Q: Real estate can be viewed as a bundle of rights. How these bundles of rights are grouped together determines the type of ownership interest an individual (or group of individuals) can stake claim to. In an ordinary life estate with remainder interests, which of the following rights is detached from the traditional bundle of rights that typically defines a fee simple absolute interest? A. Possession B. Use C. Disposition D. Enjoyment

Q: The Protestant Ethic is rooted in: A.Utilitarianism. B.Consequentialism. C.Deontology. D.Formalism.

Q: When identifying an easement appurtenant, the parcel of land that benefits from the right to use the land in question is referred to as the: A. Dominant parcel B. Servient parcel C. Licensed parcel D. Gross parcel

Q: Since the primary goal of business is to make a profit, this orientation mainly involves: A.Deontology. B.Formalism. C.Consequentialism. D.The lack of ethics.

Q: Tom recently purchased a home in a residential subdivision. While mowing his lawn and planting new shrubs for the first time since moving in, Tom's neighbor came outside to inform him that he was violating one of the subdivision's rules which required the use of a specific professional lawn service for all property landscaping needs. Assuming this requirement can be enforced by the subdivision authority, this would be an example of a(n): A. easement B. restrictive covenant C. lien D. estate

Q: The principal systems of ethics are: I. Formalism II. Consequentialism III. Utilitarianism A.I, II, and III. B.I and II. C.II and III. D.I and III.

Q: Brian just began graduate school at the local university and is looking to rent an apartment. A family friend has decided to lease him a two bedroom, one bathroom cottage through an oral agreement with no definite lease period outlined. Which of the following leasehold estates best describes Brian's situation? A. Tenancy for years B. Tenancy at sufferance C. Periodic tenancy D. Tenancy by the entirety

Q: Value based management: A.Teaches ethical values to management and supervisory personnel that enhances the profitability of the company. B.Teaches ethical values to all employees that enhances the profitability of the company. C.Teaches ethical values to management and supervisory personnel with the aim of avoiding ethical issues whether profitability is affected or not. D.Teaches ethical values to all employees with the aim of avoiding ethical issues whether profitability is affected or not.

Q: Jeff owns 150 acres between a highway and a public beach. The state would like to build a road directly from the highway to the beach across a number of beach front properties including Jeff's. The space for this road would be considered a(n): A. implied easement B. easement in gross. C. negative easement appurtenant. D. positive easement appurtenant.

Q: According to Rawls: A.No one is entitled to the right of personal security. B.Social and economic inequalities that exist must be based on what a person does, not on who a person is. C.Everyone is entitled to equal opportunity in all pursuits. D.Individuals have the right to an equal place at the finish line in society.

Q: The City of Grand Rapids installed a new water main on Oak Street. The city then decided to charge the property owners along Oak Street a proportional cost of the new water main. If a property owner refuses to pay their proportional share of the cost, the city may file a(n): A. property tax lien. B. assessment lien. C. general lien. D. mechanics' lien.

Q: The social contract theory concerns itself with how to construct a just society given the many inequalities of all of the following except: A.Wealth. B.Social status. C.Height. D.Knowledge.

Q: Bill and Mike go in together to purchase 342 acres of land to use for hunting and family vacations. Ten years later, Bill dies and Bill's wife wants to sell his half of the land. Mike informs her that, unfortunately, she has no claim to the land and that upon Bill's death, his ownership interest transferred to Mike. What type of co-ownership did Bill and Mike have? A. Tenancy by the entireties B. Tenancy in common C. Joint tenancy D. Condominium

Q: Who developed the social contract theory? A.Rawls. B.Kant. C.Locke. D.Plato.

Q: In some states, mining companies are deemed to own not only the minerals but also the space the minerals occupied before they were removed, thereby earning the distinction of ownership states. However, when the owner of an oil or gas well is able to claim all that is pumped from it, regardless of whether the oil or gas migrated from adjacent property, this is referred to as a _____________ state. A. Manner of attachment B. Law of capture C. Intention of the parties D. Relation of the parties

Q: Who developed the categorical imperative? A.Socrates. B.Plato. C.Rawls. D.Kant.

Q: When multiple individuals have use of a property, but their interests are not simultaneous, this type of co-ownership is referred to as a: A. Cooperative B. Tenancy by the entirety C. Condominium D. Timeshare

Q: The ___________ has an emphasis on consistency and compels you to act as you believe everyone should act. A.Formalist Theory. B.Deontological Imperative. C.Categorical Imperative. D.Contractualist Imperative.

Q: Restrictive covenants impose constraints on the use of the land, yet are limited in terms of their enforcement. All of the following are true regarding the enforcement of restrictive covenants EXCEPT: A. Courts have been reluctant to maintain restrictive covenants for an unreasonably long time and in some cases states have enacted a time limit on their applicability. B. Courts may refuse to enforce restrictive covenants due to changing neighborhood character. C. Courts may refuse to enforce restrictive covenants due to abandonment of the property. D. Restrictive covenants are public in nature and therefore can be enforced by those who do not hold a legal interest in the property.

Q: The legal requirement of honoring confidences reflects elements of: A.Formalist ethics. B.Consequentialist ethics. C.Both of the above. D.None of the above, this is common law and not based on ethics.

Q: Which statement is true: A.Ethics is a formal system for deciding right and wrong decisions. B.Law and ethics are the same thing. C.The motivation to observe moral rules comes from society. D.Ultimately, adhering to laws is superior to abiding by moral principles.

Q: Property rights created from marriage have a clear implication for real estate transactions. Which of the following marital property rights gives a spouse a one-half claim on all property acquired "from the fruits of the marriage?" A. Dower B. Curtesy C. Elective share D. Community property

Q: Which of the following forms of co-ownership, historically used for apartment buildings, is not considered a form of true direct co-ownership, but rather qualifies as a proprietary corporation? A. Cooperative B. Tenancy by the entirety C. Condominium D. Partnership

Q: Federal law: A.Requires that all companies establish a written code of ethics. B.Encourages self regulation by companies. C.Requires that all ethics related matters be referred to the federal government giving the federal government exclusive jurisdiction regarding ethics and ethics violation enforcement. D.Establishes regulators in all areas of industry to establish and enforce ethical standards.

Q: Which of the following types of direct co-ownership combines single person ownership with tenancy in common? A. Cooperative B. Tenancy by the entirety C. Condominium D. Partnership

Q: The rising concern over business ethics responds to all of the following except: A.A decline in public education. B.A decline in two-parent families. C.An increase in international cartels. D.An increase in both parents working.

Q: Which of the following types of direct co-ownership is a form of joint tenancy for husband and wife created by marriage that protects each spouse from liens arising from either spouse alone? A. Tenancy in common B. Tenancy by the entirety C. Condominium D. Tenancy at Will

Q: Which of the following is not a job of an ethics officer: A.Develop ethics policies. B.Listen to complaints concerning ethics violations. C.Investigate ethics abuses. D.Counter-sign corporate checks.

Q: Direct co-ownership implies that each co-owner holds a titled interest in the property, but without exclusive possession with respect to the other co-owners. Which of the following types of direct co-ownership is considered the closest to the fee simple absolute estate? A. Tenancy in common B. Tenancy by the entirety C. Condominium D. Tenancy at Will

Q: What percentage of big companies have ethics officers? A.Over 20%. B.Over 30%. C.Over 40%. D.Over 50%.

Q: Co-ownership can occur in a variety of ways, with significant variation in how the bundle of rights is jointly held. All of the following entities are forms of direct co-ownership EXCEPT: A. Tenancy in common B. Tenancy by the entirety C. Condominium D. Partnership

Q: Of the world's 100 largest economies, 49 are countries and 51 are companies.

Q: Which of the following types of liens is automatically superior to any other lien? A. Property tax and assessment lien B. Mortgage lien C. Lien arising from a court judgment unrelated to ownership of the property D. Mechanics' lien

Q: Federal law reduces criminal penalties for companies that take steps to control their ethical conduct.

Q: A lien is an interest in real property that serves as security for an obligation. Which of the following is an example of a general lien? A. Property tax and assessment lien B. Mortgage lien C. Lien arising from a court judgment unrelated to ownership of the property D. Mechanics' lien

Q: Plato wrote that immoral behavior often flows from thoughtlessness.

Q: An important distinction both practically and conceptually is the difference between an easement and a license. All of the following characteristics pertain to a license EXCEPT: A. A license is revocable by the grantor. B. A license can be granted orally. C. A license is enduring. D. A license grants permission to use another's land for a specific and limited purpose.

Q: The social contract theory recognizes that it is ethical for social and economic inequities to exist based of what a person does.