Question 1

Under the "stakeholder view," no group ever has a greater stake in company decisions than the shareholders do.

Accepted Answer

A) True 
 B)False

Question 2

Congress enacted the Sarbanes-Oxley Act to help reduce unethical management decisions.

Accepted Answer

A) True 
 B)False

Question 3

Rationalization is the process of making a logical decision based in evidence and an analysis of the ethical dimensions of the decision.

Accepted Answer

A) True 
 B)False

Question 4

Judging a job applicant based on what an online search reveals about the applicant's activities outside the workplace universally is viewed as ethical.

Accepted Answer

A) True 
 B)False

Question 5

Holdings Corporation,a top-performing company,may be more likely to behave unethically if

Accepted Answer

A)  its customers focus solely on the firm's profitability. 
B)  employees feel they are expected to continually perform at a high level to keep their jobs. 
C)  the company mandates a four-part analysis for each corporate decision being made. 
D)  the firm begins to focus on being good corporate citizens. 
A)  its customers focus solely on the firm's profitability. 
B)  employees feel they are expected to continually perform at a high level to keep their jobs. 
C)  the company mandates a four-part analysis for each corporate decision being made. 
D)  the firm begins to focus on being good corporate citizens.

Question 6

The triple bottom line looks at all of the following except

Accepted Answer

A)  how decisions impact profits and revenue. 
B)  how decisions impact sustainability and the planet. 
C)  how decisions impact employees and consumers. 
D)  how decisions impact the relationship between the U.S.and other nations. 
A)  how decisions impact profits and revenue. 
B)  how decisions impact sustainability and the planet. 
C)  how decisions impact employees and consumers. 
D)  how decisions impact the relationship between the U.S.and other nations.

Question 7

As part of the IDDR approach as described in the text,it is important to list many possible actions and analyze them using several different ethical theories.

Accepted Answer

A) True 
 B)False

Question 8

Decision makers need to consider what they can and will do before they consider what they should do.

Accepted Answer

A) True 
 B)False

Question 9

The effectiveness of an industry code of ethics is partly determined by the commitment of the industry or company leadership to enforce it.

Accepted Answer

A) True 
 B)False

Question 10

The term moral minimum is best defined as the highest degree of ethical behavior expected of a firm.

Accepted Answer

A) True 
 B)False

Question 11

Because social media is so widespread,it is legal and ethical for a company to have social media policies limiting employees from criticizing the company.

Accepted Answer

A) True 
 B)False

Question 12

Corporate "citizenship" involves making decisions beyond just maximizing profits and dividends.

Accepted Answer

A) True 
 B)False

Question 13

Company codes of conduct set forth company policies and expectations for different issues.

Accepted Answer

A) True 
 B)False

Question 14

Ethics has to do with how a businessperson making business decisions applies

Accepted Answer

A)  legal doctrine. 
B)  moral principles. 
C)  corporate policy. 
D)  financial priorities. 
A)  legal doctrine. 
B)  moral principles. 
C)  corporate policy. 
D)  financial priorities.

Question 15

A cost-benefit analysis is part of

Accepted Answer

A)  a duty-based ethics approach. 
B)  corporate social responsibility. 
C)  the principle of rights theory. 
D)  utilitarianism. 
A)  a duty-based ethics approach. 
B)  corporate social responsibility. 
C)  the principle of rights theory. 
D)  utilitarianism.

Question 16

Duty-based ethical standards are most likely to derive from

Accepted Answer

A)  a corporate ethics code. 
B)  a cost-benefit analysis. 
C)  philosophical reasoning. 
D)  the law. 
A)  a corporate ethics code. 
B)  a cost-benefit analysis. 
C)  philosophical reasoning. 
D)  the law.

Question 17

Under the principle of rights theory,the key factor in a decision is how the result may harm the rights of the company to make money.

Accepted Answer

A) True 
 B)False

Question 18

Product Sales Inc.adheres strictly to the goal of maximizing profits.Even so,Product Sales will benefit from ethical behavior

Accepted Answer

A)  if customer service is good. 
B)  if its owners are happy with the revenue. 
C)  under no circumstances. 
D)  if it efficiently allocates its scarce resources. 
A)  if customer service is good. 
B)  if its owners are happy with the revenue. 
C)  under no circumstances. 
D)  if it efficiently allocates its scarce resources.

Question 19

Seafood Café Company makes products that can cause severe health problems to those with shellfish allergies.Seafood analyzes the cost of warning people of the risk (which they believe is obvious)and the risk of harm to people if no warning is included in advertising and on menus.This analysis most likely is part of

Accepted Answer

A)  a duty-based ethics approach. 
B)  corporate social responsibility. 
C)  religious ethical principles. 
D)  outcome-based ethics. 
A)  a duty-based ethics approach. 
B)  corporate social responsibility. 
C)  religious ethical principles. 
D)  outcome-based ethics.

Question 20

Global businesses need to be conscious of the impact of different religious principles on ethics.

Accepted Answer

A) True 
 B)False

Exam 3: Ethics in Business

Under the "stakeholder view," no group ever has a greater stake in company decisions than the shareholders do.

Congress enacted the Sarbanes-Oxley Act to help reduce unethical management decisions.

Rationalization is the process of making a logical decision based in evidence and an analysis of the ethical dimensions of the decision.

Judging a job applicant based on what an online search reveals about the applicant's activities outside the workplace universally is viewed as ethical.

Holdings Corporation,a top-performing company,may be more likely to behave unethically if

The triple bottom line looks at all of the following except

As part of the IDDR approach as described in the text,it is important to list many possible actions and analyze them using several different ethical theories.

Decision makers need to consider what they can and will do before they consider what they should do.

The effectiveness of an industry code of ethics is partly determined by the commitment of the industry or company leadership to enforce it.

The term moral minimum is best defined as the highest degree of ethical behavior expected of a firm.

Because social media is so widespread,it is legal and ethical for a company to have social media policies limiting employees from criticizing the company.

Corporate "citizenship" involves making decisions beyond just maximizing profits and dividends.

Company codes of conduct set forth company policies and expectations for different issues.

Ethics has to do with how a businessperson making business decisions applies

A cost-benefit analysis is part of

Duty-based ethical standards are most likely to derive from

Under the principle of rights theory,the key factor in a decision is how the result may harm the rights of the company to make money.

Product Sales Inc.adheres strictly to the goal of maximizing profits.Even so,Product Sales will benefit from ethical behavior

Global businesses need to be conscious of the impact of different religious principles on ethics.

Law and Legal Reasoning

Courts and Alternative Dispute Resolution

Business and the Constitution

Torts and Product Liability

Criminal Law and Cyber Crime

International and Space Law

Intellectual Property Rights

Internet Law, social Media, and Privacy

The Formation of Traditional and E-Contracts

Contract Performance, breach, and Remedies

Sales and Lease Law

Creditor-Debtor Relations and Bankruptcy

Agency Relationships

Employment, immigration, and Labor Law

Employment Discrimination

Business Organizations

Corporations

Investor Protection and Corporate Governance

Administrative Law

Consumer Protection

Environmental Law

Real and Personal Property

Antitrust Law and Promoting Competition

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