Ch 10 Quiz w Answers Revised

ACC-4800 → Quizzes → Chapter 10

Chapter 10

Instructions:

Questions Limits Points Due Date Availability

64 Questions No Time Limit

Unlimited Attempts

64 pts possible Jun 5 at 11am Always available

Take the Quiz Again

Score for this attempt: 23 out of 64

Submitted Jun 17 at 7:25pm

This attempt took about 2 hours.

Question 1: 1 pts

Enron case.

0% of points

WorldCom case.

0% of points

Daubert case.

100% of points

All of the above.

0% of points

1 / 1

Question 2: 1 pts

Whether the expert's theories in the case have been tested.

0% of points

Whether the techniques used by the expert in the case are subject to peer review.

0% of points

The expert's skills and background.

0% of points

Whether the expert's testimony in the case represents "scientific knowledge."

0% of points

All of the above.

100% of points

1 / 1

Question 3: 1 pts

AICPA challenges.

0% of points

Just plain mean challenges.

0% of points

Internet challenges.

0% of points

Voir dire challenges.

100% of points

Gatekeeper rules.

0% of points

1 / 1

Question 4: 1 pts

None of the above is correct.

0% of points

Both a and c.

100% of points

Courts are expected to provide an important "gatekeeper" function in determining who may provide expert advice to the court. The United States Supreme Court case that

gave rise to this function is the:

Under Daubert, attorneys may challenge prospective expert witnesses about:

In addition to Daubert case challenges to an expert's testimony, another concept under which experts can be questioned about their skills, education, and competence is

called:

In order for damages to be assessed, the court must find:

Chapter 10: ACC-4800-001 https://uvu.instructure.com/courses/67279/quizzes/133635

1 of 15 6/17/2012 7:26 PM

One of the parties is really bad.

0% of points

There is liability in the case.

0% of points

Criminal violations have occurred.

0% of points

1 / 1

Question 5: 1 pts

Tort and breach of contract.

100% of points

Good and bad.

0% of points

High and low.

0% of points

Short-term damages and long-term damages.

0% of points

Restitution and reliability.

0% of points

1 / 1

Question 6: 1 pts

$1,700,000.

0% of points

$400,000.

100% of points

$700,000.

0% of points


0% of points

$2,400,000.

0% of points

1 / 1

Question 7: 1 pts

$2,400,000.

0% of points


0% of points

$1,700,000.

0% of points

$400,000.

0% of points

$700,000.

100% of points

1 / 1

Question 8: 1 pts

Prove that fraud was involved in the case.

0% of points

Show that the defendant's actions clearly call for punitive damages.

0% of points

Attempt to mitigate its damages.

100% of points

Prove that there was no liability in the case.

0% of points

1 / 1

Question 9: 1 pts

The two types of harm that are the focus of damage cases are:

Beth Company sold assets to Karen Company with an alleged value of $2,400,000. Beth Company paid $2,100,000 for the assets. The actual value of the assets was

$1,700,000. Using the "out-of-pocket" damage loss rule, the fraud damages would be:

Beth Company sold assets to Karen Company with an alleged value of $2,400,000. Beth Company paid $2,100,000 for the assets. The actual value of the assets was

$1,700,000. Using the "benefit-of-the-bargain" damage loss rule, the fraud damages would be:

When measuring lost profits or other damages, it is necessary for the plaintiff to:


2 of 15 6/17/2012 7:26 PM

$1,240,000.

0% of points

$2,480,000.

100% of points

$400,000.

0% of points

$4,000,000.

0% of points


0% of points

0 / 1

Question 10: 1 pts


100% of points

$400,000.

0% of points

$760,000.

0% of points

$4,000,000.

0% of points

$1,240,000.

0% of points

0 / 1

Question 11: 1 pts


0% of points

$480,000.

0% of points

$760,000.

0% of points

$600,000.

0% of points

$300,000.

100% of points

0 / 1

Question 12: 1 pts

Trial stage of the case.

0% of points

Discovery phase of the case.

100% of points

Closing arguments in the case.

0% of points

Initial pleadings in the case.

0% of points

1 / 1

Question 13: 1 pts

Both a and c.

100% of points

Jones Lumber had an exclusive three-year supply agreement with Wood Construction. The contract called for lumber sales of $4,000,000 per year. After one year, Wood

Construction canceled the contract without cause. The court found Wood Construction liable under the contract. Jones Lumber had average gross margins of 40 percent

and average net income of 10 percent of sales. Jones Lumber's operating expenses average 70 percent fixed. The damages from the loss of this contract would be:



and average net income of 10 percent of sales. Jones Lumber's operating expenses average 70 percent fixed. The damages from the loss of this contract would be:



and average net income of 10 percent of sales. Jones Lumber's operating expenses average 70 percent fixed. Because of the lost contract, Jones Lumber carried

$2,500,000 more in lumber inventory than it would have absent the contract. Storage, handling, and carrying cost of lumber inventory averages 12 percent at Jones

Lumber. What if any amount would this fact add to your damage estimate in this case?

Deposition testimony occurs during the:

Deposition testimony:


3 of 15 6/17/2012 7:26 PM

Requires both direct testimony and cross-examination testimony.

0% of points

Is given under oath.

0% of points

Is given in lieu of trial testimony.

0% of points

Is taken during the discovery period of the case.

0% of points

1 / 1

Question 14: 1 pts

There is both direct testimony and cross-examination testimony.

0% of points

It never lasts more than four hours.

0% of points

The attorney for the expert questions the expert witness.

0% of points

Only the opposing attorney questions the expert witness.

100% of points

1 / 1

Question 15: 1 pts

Education and professional background.

0% of points

Models or methodologies used in the case.

0% of points

All of the above are correct.

100% of points

Data sources used in the case.

0% of points

Expertise in this type of case.

0% of points

1 / 1

Question 16: 1 pts

How managers behave in response to cost data.

0% of points

How costs change with respect to management decisions.

0% of points

How businesses behave in connection with cost changes.

0% of points

How costs change with respect to changes in the volume of activity.

100% of points

1 / 1

Question 17: 1 pts

Increase directly and proportionately with volume.

0% of points

Remain constant on a per unit basis as volume goes up and down.

0% of points

Never change.

0% of points

Go up and down on a per unit basis as volume decreases and increases.

100% of points

0 / 1

Question 18: 1 pts

Scatter-gram method.

0% of points

Regression-correlation method.

During deposition testimony:

During cross-examination testimony, the opposing attorney may try to discredit the expert witness by questioning his or her:

Cost behavior refers to:

Fixed costs are costs that:

A simple but potentially useful method of estimating cost behavior is the:


4 of 15 6/17/2012 7:26 PM

0% of points

By gut and by golly method.

0% of points

High-low method.

100% of points

1 / 1

Question 19: 1 pts

$0.1067 per sales dollar.

0% of points


100% of points


0% of points


0% of points

0 / 1

Question 20: 1 pts

$100,000.

100% of points

$160,000.

0% of points

$300,000.

0% of points

$260,000.

0% of points

0 / 1

Question 21: 1 pts

$275,000.

100% of points

$260,000.

0% of points

$175,000.

0% of points

$300,000.

0% of points

0 / 1

Question 22: 1 pts

Scatter diagram.

0% of points

Experienced employee information.

0% of points

High-low.

0% of points

Correlation-regression.

100% of points

1 / 1

Question 23: 1 pts

None of the above.

0% of points

Is practice for trial testimony.

0% of points

Is not actually considered testimony.

Georgetown Company's weekly store operating costs for a 10-week period had a value of $300,000 and a low value of $260,000. Sales volumes for the two weeks were

$4,000,000 and $3,200,000 respectively. The estimated variable cost per dollar of sales using the high-low method is:


$4,000,000 and $3,200,000 respectively. The estimated fixed cost using the high-low method is:


$4,000,000 and $3,200,000 respectively. At a sales level of $3,500,000, the estimated store operating costs using the high-low method of cost analysis would be:

In analyzing cost behavior data for cases, most experts find that the most effective and defensible analysis method is:

Deposition testimony:


5 of 15 6/17/2012 7:26 PM

0% of points

In some states is not given under oath.

0% of points

Is always given under oath.

100% of points

1 / 1

Question 24: 1 pts

All of the above.

100% of points

None of the above.

0% of points

All the questions are asked by an opposing attorney.

0% of points

Everything the witness says is taken down and recorded.

0% of points

The testimony is given under oath.

0% of points

1 / 1

Question 25: 1 pts

None of the above.

0% of points

The judge can object to inappropriate questions.

0% of points

Testimony is not recorded.

0% of points

All questions during your testimony will be asked by an opposing attorney.

0% of points

An attorney from your side will ask you questions.

100% of points

1 / 1

Question 26: 1 pts

Were created to ensure quality expert testimony in federal courts.

100% of points

Are used exclusively in state courts.

0% of points

None of the above.

0% of points

Relate to scientific experts but not to financial experts in cases.

0% of points

Have little impact on cases.

0% of points

1 / 1

Question 27: 1 pts

Liability and blame by the defendant.

0% of points

None of the above.

0% of points

Damages occurred and they were large.

0% of points

The defendant was liable in the case and the liability resulted in damages.

100% of points

There was no breach of contract.

0% of points

1 / 1

Question 28: 1 pts

During a deposition:

During trial testimony:

Daubert requirements:

In order to win damages in a case, generally a plaintiff must prove:

In tort cases, damages are determined based on the concept that:


6 of 15 6/17/2012 7:26 PM

None of the above.

0% of points

There was no liability, only damages.

0% of points

The plaintiff in the case should be placed in a position economically equivalent to that absent the harm from the tort.

100% of points

Only the incremental revenues resulting from the tort should be included.

0% of points

All relevant costs resulting from the breach of contract should be included.

0% of points

0 / 1

Question 29: 1 pts

"Out-of-pocket" and "reasonable certainty."

0% of points

"Out-of-pocket" and "benefit-of-the-bargain."

100% of points

None of the above.

0% of points

"Benefit-of-the-bargain" and "lost profits."

0% of points

"Benefit-of-the-bargain" and "reliance."

0% of points

0 / 1

Question 30: 1 pts

The "yardstick" or "benchmark" method.

0% of points

The "but-for" method.

0% of points

All of the above.

0% of points

The "before-and-after" method.

100% of points

None of the above.

0% of points

0 / 1

Question 31: 1 pts

Using economic experts to make future estimates.

0% of points

All of the above.

0% of points

Using historical cost data.

100% of points

Using only estimated future accounting estimates.

0% of points

0 / 1

Question 32: 1 pts

The American Institute of Certified Public Accountant (AICPA) guidelines.

0% of points

The guidelines provided by the Association of Certified Fraud Examiners (ACFE).

0% of points

The American Bar Association (ABA) rules.

0% of points

None of the above.

0% of points

State laws in the state the case is being tried.

100% of points

0 / 1

Two major theories of damages are:

The method of lost profit damages calculation that is best for mature businesses is:

Most accounting damages in cases are estimated:

The primary determinants of the damage model used in a case are:


7 of 15 6/17/2012 7:26 PM

Question 33: 1 pts

The "before and after" method.

0% of points

All of the above.

0% of points

None of the above.

0% of points

The "yardstick" method.

100% of points


0% of points

0 / 1

Question 34: 1 pts

None of the above.

0% of points


100% of points

All of the above.

0% of points

The "before and after" method.

0% of points

The "yardstick" method.

0% of points

0 / 1

Question 35: 1 pts

Company-specific analysis.

0% of points

Macroeconomic analysis.

100% of points

None of the above.

0% of points

Industry analysis.

0% of points

Financial analysis conclusions.

0% of points

0 / 1

Question 36: 1 pts

A period technique used during the discovery phase of the case to periodically summarize the issues that have been present in the case.

0% of points

Rendered at the end of the case after the judge/jury has heard and summarized all of the case testimony.

0% of points

A seldom used trial technique in which an attorney attempts to summarize the case data as part of closing arguments.

0% of points

An attempt by one or both sides in a case to ask the judge to accept their arguments in the case as correct and to render an opinion in the case in their favor without even

going to trial.

100% of points

0 / 1

Question 37: 1 pts

Both a and b.

0% of points

The judge.

0% of points

None of the above.

0% of points

The expert’s attorney.

The lost profits method that best measures what a plaintiff would have done or accomplished without interference from the defendant is:

The lost profits method that is based upon a market model of sales projection created to compute lost profits is:

Typically the first step in the economic framework of estimating damages is:

A summary judgment is:

During deposition testimony, the accounting expert witness is questioned by:


8 of 15 6/17/2012 7:26 PM

0% of points

The opposing attorney.

100% of points

0 / 1

Question 38: 1 pts

None of the above

0% of points

7,149

0% of points

8,527

0% of points

6,014

0% of points

9,450

100% of points

0 / 1

Question 39: 1 pts

In civil cases but never during criminal cases.

0% of points

Only at the request of the judge presiding at the trial.

0% of points

During his deposition testimony.

0% of points

During the trial to counter some testimony of a witness from the other side in the case.

100% of points

0 / 1

Question 40: 1 pts

$160 and 40.0 percent

100% of points

None of the above

0% of points


The following information pertains to Adena Company:

Sales price per unit $90.00

Variable cost per unit $55.00

Total fixed costs $250,000

After-tax income $48,450

Tax ratae 40%

Unit sales volume for the company must have been:

If an expert witness is requested to provide rebuttal testimony in a case it will usually occur:

Charlevoix Supply Company makes specialized products for automobile applications. Recently management introduced a new patented engine sensor

device. The first year costs and revenues for the product were as follows:

Selling price $400 per unit

Direct materials $125 per unit

Direct labor $ 45 per unit

Variable MOH $ 40 per unit

Total fixed MOH $1,600,000

Variable selling and administrative $ 30 per unit

Total fixed selling and administrative $500,000

Sales volume 25,000 units

During the second year of production and sales, the company only sold 12,000 units of product, because a competitor produced and sold an identical product.

Charlevoix Supply has filed a law suit against the competitor for patent infringement.

What is the contribution margin and the contribution margin ratio for this product?


9 of 15 6/17/2012 7:26 PM

0% of points


0% of points


0% of points

0 / 1

Question 41: 1 pts

$110,000

0% of points

$2,535,000

0% of points

$2,080,000

100% of points

None of the above

0% of points

$2,650,000

0% of points

0 / 1

Question 42: 1 pts

$4,250,000

0% of points

$2,650,000

0% of points

$10,000,000

0% of points

None of the above

0% of points

$1,900,000

100% of points

0 / 1

Question 43: 1 pts

$1,807,000

100% of points

$1,492,000

0% of points

0

0% of points

None of the above.

0% of points

$2,210,000

0% of points

0 / 1

Question 44: 1 pts

$1,280,000

0% of points

$1,900,000

0% of points

$1,665,000

100% of points

Using the facts in question 80, assume the competitor is liable as alleged by Charlevoix Supply in the patent infringement law suit. What is the amount of

damages that Charlevoix Supply experienced during the second year of the new product as a result of the competitor’s patent infringement?

Using the facts in question 80, what was the Charlevoix Supply profit on this product during the first year it was sold?

Using the facts in question 80, assume the competitor is liable as alleged by Charlevoix Supply in the patent infringement law suit. Additionally assume

that in the second year of operations all variable manufacturing costs increased by 10 percent and all fixed costs increased by 15 percent and the selling

price remained the same. What is the amount of damages that Charlevoix Supply experienced during the second year of the new product as a result of the

competitor’s patent infringement?

Using the facts in question 80, assume the competitor is liable as alleged by Charlevoix Supply in the patent infringement law suit. Also assume that the

company in an effort to mitigate the damages caused by the patent infringement of the competitor created an advertising program that resulted in sales

decreasing to only 17,000 units rather than the 12,000 units stated above. The annual cost of the advertising program was $375,000. What is the amount of

damages that Charlevoix Supply experienced during the second year of the new product as a result of the competitor’s patent infringement?


10 of 15 6/17/2012 7:26 PM

None of the above

0% of points

$2,650,000

0% of points

0 / 1

Question 45: 1 pts

Profit would remain unchanged.

0% of points

Profit would increase.

100% of points

Fixed costs per unit would remain unchanged.

0% of points

Would pay more in franchise fees in 2010 than during the 2009.

0% of points

Profit would decrease.

0% of points

0 / 1

Question 46: 1 pts

$18,600

100% of points

None of the above

0% of points

$14,400

0% of points

$22,785

0% of points

$11,200

0% of points

0 / 1

Question 47: 1 pts

$0.138 per sales dollar

0% of points


100% of points


0% of points


0% of points

None of the answers above is correct.

0% of points

0 / 1

Joe’s Oyster House is a franchise business that pays the franchisor $0.25 per dozen for each dozen oysters the shop sells. This franchise fee is considered

to be part of the variable cost of operating the oyster house. In 2009, Joe’s Oyster House broke even at 50,000 dozen oysters a year and sold 80,000

dozen oysters for the year. New equipment and procedures caused 2010 total fixed costs to increase and unit variable costs to decrease. Sales remained

at 80,000 dozen oysters for the year and the break-even sales level remained unchanged at 50,000 dozen. All other variables remained unchanged. Based

on this information we can conclude that in 2010 for Joe’s Oyster House:

Below are monthly Sales and Operating Expenses data for the Wiley Company:

Month Sales Volume Operating Expenses

July $180,000 $33,000

August 210,000 38,000

September 220,000 39,000

October 190,000 35,500

November 240,000 40,000

December 320,000 44,200

Using the “high-low” method, the estimated monthly fixed cost for Operating Expenses is:

Using the facts in question 86, using the “high-low” method the variable cost per dollar of operating expense is:


11 of 15 6/17/2012 7:26 PM

Question 48: 1 pts

None of the above

0% of points

a and c

0% of points

$69,000

0% of points

$50,000

0% of points

Most likely outside of the “relevant range”

100% of points

0 / 1

Question 49: 1 pts

$208,000

0% of points

$31,200

0% of points

$15,600

0% of points

$46,800

100% of points

None of the above

0% of points

0 / 1

Question 50: 1 pts

Eastside Seafood Store is entitled to these damages because they were incurred as a direct result of Walton’s failure to honor the supply contract agreement.

100% of points

Eastside will most likely not be able to collect either of the amounts mentioned in the case.

0% of points

Eastside may be able to get the costs of making the twice a week trips for the seafood, but it cannot also get the amount for the higher cost of the seafood.

0% of points

None of the above.

0% of points

Walton’s expert is correct and the court will not typically “create profits” when they did not exist before.

0% of points

0 / 1

Question 51: 1 pts

A legal brief filed during discovery to discredit an opposing expert’s education.

0% of points

The opposing attorney’s questioning of the expert’s credentials, knowledge, or experience in relation to the case.

100% of points

A process of discrediting an opposing expert witness that is used in federal court but not in state courts.

0% of points

A process of discrediting an opposing expert witness that is no longer used since the use of the Daubert challenge.

0% of points

0 / 1

Using the facts in question 86, assume that the data presented above results in a variable cost of $0.10 per dollar of sales and a fixed cost of $19,000.

If one wanted to predict the amount of Operating Expense at a sales level of $500,000, the answer would be:

Walton’s Seafood Supply Company had a two-year contract with the Eastside Seafood Store to supply the retail store with a variety of fresh fish. At the

beginning of the second year of the contract, Walton’s began having trouble meeting the needs of the Eastside Seafood Store. As a result, in order to keep

its customers satisfied, Eastside began driving a refrigerated truck 50 miles to another supplier two times a week so the store could meet customer

demands. The cost of making the twice a week “seafood run” was $300 per week in incremental transportation costs. Additionally, Eastside contended that

they had to pay on average 15 percent more for the fish at the other supplier than was provided for in the original contract. Eastside Seafood Store

averaged $4,000 a week in purchases from the other supplier. Eastside filed a law suit against Walton’s Seafood Supply for breach of contract and the court

ruled for the plaintiff in the case.

Based solely on the information provided above, if you are the accounting expert witness for Eastside Seafood Store, what is your best estimate of the

damages in this case?

Using the facts in the previous question, during the damages phase of the case, Walton’s expert witness took issue with the $300 per week cost of

driving a truck to the alternate supply location. She argued that this was not a cost Eastside had incurred before and that the company was merely using it to

run up the amount of the damages. Most likely the court will find that:

A Voir Dire challenge to an expert witness’s testimony refers to:


12 of 15 6/17/2012 7:26 PM

Question 52: 1 pts

A gatekeeper in rejecting or accepting expert witnesses.

100% of points

A trier of fact in interpreting expert opinions.

0% of points

The final resolution of difficult decisions that only a court can decide.

0% of points

An arbitrator of difficult issues.

0% of points

0 / 1

Question 53: 1 pts

Reasonable certainty: It is not reasonably certain that the plaintiff would have earned the claimed profit if the contract had not been breached.

100% of points

Proximate cause: there was no evidence that showed the national firm directly caused any damages to the regional firm.

0% of points

All three of the above issues must have been present to achieve the stated result.

0% of points

Foreseeability: A prudent person would be able to look into the future and see that the offending party would damage the other party.

0% of points

0 / 1

Question 54: 1 pts

$1,600,000 and $1,320,000.

0% of points

$800,000 and $520,000.

100% of points


0% of points

$2,800,000 and $2,520,000.

0% of points

Year 1 = 100,000 ($100 – ($60 + $12)) - $800,000 - $1,200,000 = $800,000

Year 2 = 90,000 ($100 – ($60 -$12)) - $800,000 - $1,200,000 = $520,000

0 / 1

Question 55: 1 pts

$1,600,000.

100% of points

$600,000.

0% of points

$800,000.

0% of points


0% of points

$1,000,000.

0% of points

Defendant Company does not purchase any motors during years two and three of the contract so lost gross profit is:

In the milestone Daubert case, the U.S. Supreme court characterized the Court’s function as that of:

A regional package delivery company that was marginally profitable entered into a three-year contract with a national airline delivery service to make all local

package deliveries within their regional area. After six months, the national firm unilaterally decided to end the contract. The regional package delivery firm

sued the national firm claiming significant lost profits. The court found the national firm liable under the contract but awarded no damages to the plaintiff. The

legal framework used by the court most likely was that there was no:

Plaintiff Company sues Defendant Company for breach of contract when Defendant Company unilaterally quit buying electric motors from Plaintiff Company after one year

of a three-year purchase contract. The contract called for purchase of 20,000 electric motors a year at a price of $100 per unit. Plaintiff Company makes the motors for

use in its manufacturing plant for $60 per unit. Shipping and marketing costs are $20 per motor of which 60 percent is variable costs. Administrative expenses for each of

the three years of the contract were $1,200,000 and management considers those costs to be fixed. Plaintiff Companies practical capacity is 100,000 which is the level it

was operating during the first year of the contract with Defendant Company. During the second year of the contract (the first year of the contract breach), Plaintiff

Company found some new customers and operated at 90,000 units of production and sales. During the third year of the contract, Plaintiff Company found additional

customers and operated at its practical capacity of 100,000 units.

Compute the net income of Plaintiff Company for Year 1 and Year 2 of the contract:

Using the facts in question 94, Plaintiff Company alleges that it suffered significant damages because of Defendant Company’s breach of the contract.

If Plaintiff Company’s expert witness decides that lost gross profit is the best measure of damages (considering no mitigation of damages), the amount of

damages claimed in this case by the Plaintiff’s expert is:


13 of 15 6/17/2012 7:26 PM

(20,000 units × 2) ($100 – $60) = $1,600,000

0 / 1

Question 56: 1 pts

$1,600,000.

0% of points


0% of points

$800,000.

0% of points

$600,000.

100% of points

40,000 units ($100 ($60 $25)) = $600,000

0 / 1

Question 57: 1 pts

$600,000.

0% of points

$280,000.

100% of points


0% of points

$1,600,000.

0% of points

$800,000.

0% of points

Year 2 contract damages = 10,000 units ($100 – $60 – (0.60 × $20)) = $280,000

Year 3 contract damages = zero units = 0

Total damages with damage mitigation = $280,000

0 / 1

Question 58: 1 pts

60,000 units which is the total number of units agreed to be purchased under the contract.

0% of points

20,000 units because Plaintiff Company’s practical capacity is 100,000 units per year and in Year 2 of the contract Plaintiff sold 90,000 units because of new customers.

0% of points

40,000 units because that is the number of units that Defendant Company did not buy when it breached the contract.

0% of points

10,000 units because Plaintiff Company sold 90,000 units in Year 2 of the contract and 100,000 units in year 3 of the contract. Therefore Plaintiff failed to sell only 10,000

units because of the breached contract

100% of points

Because Plaintiff Company has a practical capacity of 100,000 units per year, the breach of contract resulted in the loss of only 10,000 units of sales during the life of the

contract.

0 / 1

Question 59: 1 pts

The cost of promotional materials to rehabilitate the image of the bakery business.

0% of points

Profits on lost sales.

0% of points

The opportunity cost of money that Jennifer was planning to use for a very good real estate investment that had to be used to improve the business.

100% of points

The cost of additional advertising to get back customers that were lost.

0% of points

0 / 1

Using the facts in question 94, if Defendant Company’s expert witness decides that the best measure of damages (considering no mitigation of

damages) is lost profits caused by the breach of contract, the amount of damages is:

Using the facts in question 94, considering mitigation of damages, the amount of damages that best estimate the lost profit of the Plaintiff Company is:

Using the facts in question 94, the total number of units that are included in the calculation of damages if we consider mitigation of damages is:

Jennifer Jones owns and operates a successful local bakery business. In an effort to increase sales and profits she contracted with Jack to deliver cakes

and other baked goods to customers. She thought the delivery service would increase her customer base and expand her sales territory. After about six

months, Jennifer started getting complaints about late deliveries, cakes and other baked goods arriving in poor condition, and deliveries that were not made

at all. Jennifer believes that Jack’s unprofessional delivery service has had a very bad impact on her business. She filed suit against Jack. Assuming the

description above is accurate, the court would most likely allow her in her damage estimate to include all of the following except:


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Question 60: 1 pts

Direct testimony in a federal court.

0% of points

The same thing as deposition testimony.

0% of points

Testimony given at trial that refutes some or all of the testimony given the court by witnesses from the other side in the case.

100% of points

Very much like cross examination.

0% of points

0 / 1

Question 61: 1 pts

The bias attorneys have against accounting expert witnesses.

0% of points

The adversarial nature of litigation makes both sides in the case very biased toward the other side.

0% of points

Witness bias that arises because a party to an adversarial proceeding retains experts to advance its cause in a case.

100% of points

The bias that judges and juries have against financial experts because they do not understand the experts’ terminology

0% of points

0 / 1

Question 62: 1 pts

Unconscious bias: wanting to help the side that is paying your bills.

100% of points

Selection bias: the attorney has the ability to select from a wide range of expert positions “picking an unrepresentative expert for testimony.”

0% of points

Conscious bias: opinions for hire “hired guns.”

0% of points

Jury bias: in which the jury forms an illogical bias against the accounting expert witness.

0% of points

1 / 1

Question 63: 1 pts

Read trial transcripts from prior cases the judge has worked to see how she/he addresses adversarial bias issues.

0% of points

Understand that it is a rare problem that most experts do not have to address.

0% of points

Be prepared for the tough cross examination questions that the attorney from the other side will ask.

0% of points

Remain cognizant of the role of an expert witness and the ethical challenges faced by experts so as not to fall into unconscious adversarial bias situations.

100% of points

1 / 1

Question 64: 1 pts

People who know all of the answers and are never stumped by the opposing attorney’s cross examination questions no matter how crazy they are.

100% of points

People who have earned the respect of peers and others in this area of expertise.

0% of points

People who cannot be dismissed as a “professional” witness.

0% of points

People who have a consistent record on matters at issue in the case.

0% of points

1 / 1

Quiz Score: 23 out of 64

Rebuttal testimony can best be described as:

Adversarial bias is best described as:

The type of adversarial bias that most accounting expert witnesses should guard against is:

In an effort to avoid adversarial bias, experts should:

Characteristics that most effective expert witnesses possess include all of the following except:


15 of 15 6/17/2012 7:26 PM

Ch 10 Quiz w Answers Revised

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