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Cross 9e TBB Ch06

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Cross 9e TBB Ch06
Chapter 6

Administrative Agencies

N.B.: TYPE indicates that a question is new, modified, or unchanged, as follows.

N A question new to this edition of the Test Bank.
+ A question modified from the previous edition of the Test Bank.
= A question included in the previous edition of the Test Bank.

true/false questions

1. Like statutory law, administrative law is created by legislatures.

answer: F PAGES: Section 1 TYPE: N BUSPROG: Reflective AICPA: BB-Legal

2. Administrative agencies at various levels of government work together and share the responsibility of enforcing particular regulations.

answer: t PAGES: Section 1 TYPE: N
BUSPROG: Analytic AICPA: BB-Legal

3. Business has little incentive to try to influence the regulatory environment through lobbying.

answer: F PAGES: Section 2 TYPE: N BUSPROG: Analytic AICPA: BB-Legal

4. Federal administrative agencies can exercise only those powers that a state legislature has delegated to them in enabling legislation.

answer: F PAGES: Section 2 TYPE: N BUSPROG: Analytic AICPA: BB-Legal

5. Legislative rules simply declare policy and do not affect legal rights or obligations.

answer: F PAGES: Section 2 TYPE: + BUSPROG: Analytic AICPA: BB-Legal

6. A party seeking court review of an administrative action must first exhaust all of his or her administrative remedies before seeking court review.

answer: T PAGES: Section 2 TYPE: = BUSPROG: Analytic AICPA: BB-Legal

7. An administrative rule may be arbitrary and capricious if the agency failed to provide a rational explanation for its decision.

answer: T PAGES: Section 3 TYPE: N BUSPROG: Analytic AICPA: BB-Legal

8. All federal agencies must follow specific procedural requirements when fulfilling their basic functions.

answer: T PAGES: Section 3 TYPE: N BUSPROG: Reflective AICPA: BB-Legal

9. Unlike statutes, administrative regulations do not have a binding effect.

answer: F PAGES: Section 3 TYPE: N BUSPROG: Analytic AICPA:
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