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Business law Study Set 2
Exam 44: Consumer Protection and Product Safety
Path 4
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Question 1
True/False
The Consumer Product Safety Commission (CPS C)is an independent federal administrative agency empowered to regulate potentially dangerous consumer products and issue product safety standards.
Question 2
Multiple Choice
Aniorta Inc.,a pharmaceutical company,has designed a new medicine for morning sickness among pregnant women.Testing at their R&D center showed the drug to be highly reliable.Aniorta Inc.has to approach a U.S.federal administrative agency called ________ for the drug to be deemed legal for sale to the public.
Question 3
Essay
What is the United Nation's Biosafety Protocol for genetically altered food?
Question 4
True/False
If,after a public administrative hearing,the Federal Trade Commission (FTC)finds a violation of Section 5,it may issue a cease-and-desist order.
Question 5
True/False
Statements of opinion and sales talk do not constitute false and deceptive advertising.
Question 6
Multiple Choice
Jones & Hilton Co.owned a large cold storage warehouse where they stored and processed meat and meat products.An insider revealed to the media that the cold storage failed to meet numerous safety standards,encountered repeated rodent attacks,and sold potentially harmful and infected meat in the market without notifying authorities.The ________ has the authority to conduct inspections of the cold storage warehouse and initiate legal proceedings against the owners for endangering the health of consumers.
Question 7
Multiple Choice
The Health Care Reform Act is an amendment of the ________ Act.
Question 8
Multiple Choice
The NLEA applies to packaged foods and other foods regulated by the ________.
Question 9
Essay
Give an account of the regulation of medicinal devices in the United States.
Question 10
True/False
Under the Health Care Reform Act,persons who do not obtain health coverage will be provided free health insurance by the government.
Question 11
True/False
The Nutrition Labeling and Education Act (NLEA)applies to packaged foods and other foods regulated by the Food and Drug Administration.
Question 12
True/False
The U.S.Food and Drug Administration promotes the principle of caveat emptor in sale transactions involving food and drugs.
Question 13
True/False
The U.S.Department of Agriculture is the federal administrative agency that is primarily responsible for regulating meat,poultry,and other food products.
Question 14
True/False
A manufacturer can be held liable for deceptive labeling or packaging under the Health Care Reform Act.
Question 15
Multiple Choice
Rapid Rise is a health drink for teenagers,and the advertisement claims that the continuous consumption of the drink over a two-month period would lead to a four-inch increase in height.This claim was not proved by laboratory research or seen in most of its users.This act of making scientifically unsubstantiated health claims about this product is likely to be a violation of the ________.
Question 16
True/False
The FDA cannot withdraw approval of any previously licensed drug.
Question 17
Multiple Choice
The ________ is a federal statute passed in 1990 that requires food manufacturers and processors to provide nutrition information on many foods and prohibits them from making scientifically unsubstantiated health claims.