(Solved): 1. City Manufacturing Corporation conditions shipments of its products to Exurb Stores, Inc., on Ex ...

1. City Manufacturing Corporation conditions shipments of its products to Exurb Stores, Inc., on Exurb's agreement not to buy products from Regional Works Company, City's competitor. This kind of agreement is unlawful if a. it would substantially lessen competition. b. it would tend to create a monopoly. c. both a and b. d. neither a nor b. 2. BioChemical Disposal Corporation and several of its employees are charged in an indictment with illegally dumping hazardous waste into a river. In which situation would the corporation itself be convicted of the crime? a. It was a common practice for the employees to dump waste in the river but the management was unaware of this practice. b. A senior manager caught an employee dumping waste into the river on one occasion and stopped him. c. The employees themselves were unaware that it was illegal to dump waste into the river. d. The CEO told employees to dump the waste in the river so that the business would not have to pay a professional service to pick up the waste. 3. Space Trips Inc. needs to raise money quickly to complete its first spaceship on time. It decides to sell $50 million in new stock to famous billionaire Bill Gates and to Ethon Rusk, the president of Space Trips Inc. Space Trips Inc. wants to comply with the Securities Act of 1933, but also wants to move quickly to meet its deadline. Space Trips Inc.'s best course of action is a. to offer the new stock pursuant to the rules of any of the following exemptions: Regulation A, or Rule 504 or 505 of Regulation D. b. to proceed with the sale without giving notice to the SEC because several exemptions are applicable. c. to register its new stock because all initial sales of stock must be registered. d. to give notice to the SEC that it is offering new stock under Rule 506 of Regulation D, the private placement exemption.