Music Business Handbook and Career Guide 10e – Baskerville – Instructor Resource
Chapter 7: Music Licensing STUDY GUIDE MUSB 1305_____________________________________
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1. In ASCAP’s early history, its membership largely excluded composers and authors of Broadway
musicals and pop songs.
a. True
b. False
(Refer to page 126)
2. BMI’s first affiliates included songwriters from many genres of music that had not been previously
represented by performance rights organizations, including jazz, R&B, country, gospel, and folk.
a. True
b. False
(Refer to page 127)
3. About half of ASCAP’s revenue comes from domestic broadcast, cable, and satellite performances.
a. True
b. False
(Refer to page 125)
4. BMI often negotiates with trade associations representing individual licensees.
a. True
b. False
(Refer to page 128)
5. BMI foreign collections are of little importance to BMI affiliates.
a. True
b. False
(Refer to page 128)
6. Performance rights organizations find it impractical to survey performances in venues such as clubs,
hotels, etc.
a. True
b. False
(Refer to page 123)
7. A club’s blanket license is based, in part, on its seating capacity and weekly budget for music.
a. True
b. False
(Refer to pages 122-123)
8. Jukebox public performance licenses are now administered by the Jukebox Licensing Office.
a. True
b. False
(Refer to page 136)
9. The fundamental distinction between “grand rights” and “small rights” is the relative size of the use
fees.
Music Business Handbook and Career Guide 10e – Baskerville – Instructor Resource
a. True
b. False
(Refer to page 136)
10. ASCAP does not handle grand rights for its members.
a. True
b. False
(Refer to page 136)
11. In 2012, Clear Channel Radio and record label Big Machine cut a deal that was significant for what
reason?
a. The first time a label invested in a radio chain
b. The first time a label would directly collect negotiated performance royalties from a U.S. broadcaster
c. The first time a label granted a market-exclusive release window to more than 100 radio stations in a
chain
d. All of the above
(Refer to page 121)
12. Which of the following statements is most applicable for live music at a major hotel?
a. A transcription license is needed.
b. A census technique (actual logging) is used.
c. A blanket license is needed.
d. A synchronization license is needed.
e. A grand rights license is needed.
(Refer to page 122)
13. Which of the following statements is most applicable for a local radio station broadcast of a hit
record not provided by a radio syndicator?
a. A transcription license is needed.
b. A census technique (actual logging) is used.
c. A blanket license is needed.
d. A synchronization license is needed.
e. A grand rights license is needed.
(Refer to page 123)
14. Which of the following statements is most applicable for Muzak programming heard in a
supermarket?
a. A transcription license is needed.
b. A census technique (actual logging) is used.
c. A blanket license is needed.
d. A synchronization license is needed.
e. A grand rights license is needed.
(Refer to pages 134-135)
15. Which of the following statements is most applicable for a motion picture film score for a movie
shown in U.S. theaters?
a. A transcription license is needed.
b. A census technique (actual logging) is used.
Music Business Handbook and Career Guide 10e – Baskerville – Instructor Resource
c. A blanket license is needed.
d. A synchronization license is needed.
e. A grand rights license is needed.
(Refer to pages 131-132)
16. Which of the following statements is most applicable for a new opera debuting at the Met?
a. A transcription license is needed.
b. A census technique (actual logging) is used.
c. A blanket license is needed.
d. A synchronization license is needed.
e. A grand rights license is needed.
(Refer to pages 136-137)
17. The growing popularity of the Creative Commons license since 2001 has led to widespread adoption
by music publishers because of the simplicity of rights administration.
a. True
b. False
(Refer to pages 137-138)
18. When “weighting” the value of sampled performances, ASCAP takes into account whether the music
used was theme music or background music.
a. True
b. False
(Refer to page 127)
19. Because music videos are of such short duration, video producers are not required to have a
synchronization license from the publisher of the music.
a. True
b. False
(Refer to page 134)
20. BMI charges its affiliates no dues.
a. True
b. False
(Refer to page 127)
21. Out of concern for fairness in paying co-publishers from different PROs, SESAC, ASCAP, and BMI each
use identical approaches to calculate earned royalties for their members and affiliates.
a. True
b. False
(Refer to page 123)
22. Few publishers will accept a negotiated mechanical royalty rate from record companies.
a. True
b. False
(Refer to page 130)
Music Business Handbook and Career Guide 10e – Baskerville – Instructor Resource
23. When a publisher permits an advertiser to use one of its songs for a TV spot, the publisher grants a
synchronization license.
a. True
b. False
(Refer to page 119)
24. The terms grand right and dramatic right are often used interchangeably.
a. True
b. False
(Refer to page 136)
25. What is an accurate statement about a mechanical license?
a. A licensee can decide to pay the statutory rate.
b. A publisher will often negotiate a rate lower than the statutory rate.
c. Legitimate producers of cover records can almost always get a mechanical license.
d. All of the above
e. None of the above
(Refer to pages 130-131)
26. How did the term mechanical originate in the music business?
a. Originally a license to reproduce music through a jukebox, which is a mechanical device
b. Originally a license to reproduce music through a piano roll for a player-piano
c. Originally an “automatic” or “mechanical” licensing process, meaning non-discretionary
d. None of the above
(Refer to pages 130-131)
27. Which organization in the United States issues mechanical licenses on behalf of copyright owners?
a. SESAC
b. Harry Fox Agency (HFA)
c. AMRA
d. All of the above
e. None of the above
(Refer to pages 130-131)
28. For which use below would a mechanical license be inappropriate?
a. Paid locker (“cloud”) service
b. Cell phone service including music
c. Commercial radio broadcast of nondramatic music
d. Mastertone download
d. Limited interactive (genre-specific playlist)
(Refer to page 131)
29. What is one way motion picture music licensing differs between the United States and much of
Europe?
a. A synchronization license is not required for playing in U.S. theaters.
b. A performance license is not required for playing in U.S. theaters.
c. European theaters pay for a blanket performance license.
d. European theaters pay only for a mechanical license.
Music Business Handbook and Career Guide 10e – Baskerville – Instructor Resource
e. None of the above
(Refer to pages 131-132)
30. Because there is no new expense in using a previously released recording in a motion picture, most
producers prefer to use that approach in order to hold down their music budget.
a. True
b. False
(Refer to page 133)
31. Rates for cable TV secondary transmission licenses are set by what entity?
a. Federal Communications Commission
b. Copyright Royalty Board
c. ASCAP, BMI, and SESAC
d. Harry Fox Agency (HFA)
(Refer to page 133)
32. For a dramatic right for a performance running more than 30 minutes, which organization would
handle the license negotiation?
a. ASCAP
b. BMI
c. SESAC
d. All of the above
e. None of the above
(Refer to page 133)