1. For the scenario below, determine the legality of the company's actions.

Wreckorp wants to maintain an exclusivity image for its product line of sports equipment. It limits its distribution to 100 stores in each region.

A.Strictly illegal

B.Most likely legal

C.Illegal, depending on impact

D.Impossible to determine legality

2.Decide the legality of the company's decision or action in the following situation:

Vericorp wants to increase its profitability. It rearranges its distribution services so that it can serve customers in certain areas better, while leaving other areas where competitors are stronger unattended. The company makes no agreement with a competitor in doing so. Which of the following is true of this action?

A.This is legal.

B.This is illegal per se.

C.This is legal as long as no agreements are made with a competitor.

D.This may be illegal under the rule of reason.

3.Government agencies generally have power to do all but which of the following?

A.Enforce punishments for violators of public policy.

B.Make definitions concerning acceptable and unacceptable parameters within the scope of the agency's purpose.

C.Enforce substantive laws after following a predesignated procedural law process.

D.Create a new agency in order to address important goals under the mandate of the law which created the agency