Question 1

"Studies show that humans need to drink 10 glasses of water a day" is an example of a(n):

Accepted Answer

A) argument from authority. 
B) appeal to popularity. 
C) red herring fallacy 
D) false dichotomy. 
A) argument from authority. 
B) appeal to popularity. 
C) red herring fallacy 
D) false dichotomy.

Question 2

Theories that focus only on actions or decisions alone are called deontological ethical theories.

Accepted Answer

A) True 
 B)False

Question 3

A "non sequitur" used in an argument is a wrong conclusion:

Accepted Answer

A) that does not follow from the facts or premises set out. 
B) based on a false analogy. 
C) that relies on the idea that a popular belief is true. 
D) based on an attack against the speaker,not his/her reasoning. 
A) that does not follow from the facts or premises set out. 
B) based on a false analogy. 
C) that relies on the idea that a popular belief is true. 
D) based on an attack against the speaker,not his/her reasoning.

Question 4

Which of the following ethical theories focuses on decisions or action alone,irrespective of the result it produces?

Accepted Answer

A) Deontological theory 
B) Teleological theory 
C) Profit maximization theory 
D) Utilitarian theory 
A) Deontological theory 
B) Teleological theory 
C) Profit maximization theory 
D) Utilitarian theory

Question 5

________ protects the rights of those who are less privileged in society.

Accepted Answer

A) Rights theory 
B) Justice theory 
C) Rule utilitarianism theory 
D) Profit maximization theory 
A) Rights theory 
B) Justice theory 
C) Rule utilitarianism theory 
D) Profit maximization theory

Question 6

Speedster is an automobile manufacturing company that has a factory in Seattle,Washington.It has placed Keith McShane,the operations head of the factory,in charge of investigating the firm's decision whether to move the factory to Qingdao,China.Keith is against the idea of the factory relocating to Qingdao because his fellow Americans will lose their jobs to the Chinese.Therefore,he is desperately searching for information that favors Seattle over Qingdao.Which of the following prescribed guidelines for ethical decision making will Keith need to focus on to make an unbiased,ethical decision?

Accepted Answer

A) Will the shareholders offer support? 
B) What facts impact my decision? 
C) How can I increase the number of shareholders? 
D) Which decision will allow me to retain my job? 
A) Will the shareholders offer support? 
B) What facts impact my decision? 
C) How can I increase the number of shareholders? 
D) Which decision will allow me to retain my job?

Question 7

Kurt is trying to decide whether or not he should drive to work every day and has a number of questions.Will it save valuable time? Will he be adding to environmental pollution? Will it add to the problems of heavy traffic on the roads? Would carpooling be a better idea? Which of the following ethical theories does Kurt adhere to?

Accepted Answer

A) Utilitarian ethics 
B) Deontological ethics 
C) Kant's categorical imperative 
D) Rights theory 
A) Utilitarian ethics 
B) Deontological ethics 
C) Kant's categorical imperative 
D) Rights theory

Question 8

________ is a teleological ethical theory because it focuses on results by maximizing total social welfare.

Accepted Answer

A) Rights theory 
B) Kantian theory 
C) Deontological theory 
D) Profit maximization theory 
A) Rights theory 
B) Kantian theory 
C) Deontological theory 
D) Profit maximization theory

Question 9

Profit maximization is a deontological theory.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following fallacies results from observing two events and concluding that there is a causal link between them when there is no such link?

Accepted Answer

A) False cause 
B) False dichotomy 
C) False dilemma 
D) Appeal to ignorance 
A) False cause 
B) False dichotomy 
C) False dilemma 
D) Appeal to ignorance

Question 11

Coca-Cola's failed attempt to launch a new formula in 1985 is an example of:

Accepted Answer

A) how a company can timely implement a prepared backup plan. 
B) why a company must prepare for the worst-case scenario. 
C) why a company should perform market research. 
D) why a company should never remove its original product. 
A) how a company can timely implement a prepared backup plan. 
B) why a company must prepare for the worst-case scenario. 
C) why a company should perform market research. 
D) why a company should never remove its original product.

Question 12

Which of the following attacks the speaker for his argument,not his reasoning?

Accepted Answer

A) Argumentum ad hominem 
B) Argumentum from authority 
C) Argumentum as populism 
D) Argumentum ad vacuum 
A) Argumentum ad hominem 
B) Argumentum from authority 
C) Argumentum as populism 
D) Argumentum ad vacuum

Question 13

Profit maximization compels a decision maker to consider stakeholders other than the corporation and its shareholders.

Accepted Answer

A) True 
 B)False

Question 14

The ________ fallacy generates support for a proposition by focusing on a victim's predicament.

Accepted Answer

A) appeals to pity 
B) sunk cost 
C) slippery slope 
D) bandwagon 
A) appeals to pity 
B) sunk cost 
C) slippery slope 
D) bandwagon

Question 15

By examining rights that are espoused by various stakeholders,decision makers are more likely to consider all the costs and benefits of their decisions and know which rights can adversely affect the firm's profitability if they fail to take them into account.

Accepted Answer

A) True 
 B)False

Question 16

Critically thinking is not a skill that can be improved,someone either has it or they do not.

Accepted Answer

A) True 
 B)False

Question 17

Doing or buying something merely because it is "just released" or "improved" is an example of:

Accepted Answer

A) appeals to pity. 
B) a sunk cost. 
C) appeals to tradition. 
D) lure of the new. 
A) appeals to pity. 
B) a sunk cost. 
C) appeals to tradition. 
D) lure of the new.

Question 18

Utilitarianism is based on the laissez faire theory of capitalism.

Accepted Answer

A) True 
 B)False

Question 19

The purpose of the ________ is to increase penalties for corporate wrongdoers,establish rules designed to deter and prevent future wrongdoing,and encourage and enable corporate executives to be ethical and socially responsible.

Accepted Answer

A) Sarbanes-Oxley Act 
B) Davis-Bacon Act 
C) Goldwater-Nichols Act 
D) Certiorari Act 
A) Sarbanes-Oxley Act 
B) Davis-Bacon Act 
C) Goldwater-Nichols Act 
D) Certiorari Act

Question 20

Which of the following ethical theories illustrates that acting in one's selfish interests can ultimately result in ethical behavior and benefits to society?

Accepted Answer

A) Rights theory 
B) Profit maximization theory 
C) Kantian theory 
D) Justice theory 
A) Rights theory 
B) Profit maximization theory 
C) Kantian theory 
D) Justice theory

Exam 4: Business Ethics, Corporate Social Responsibility, Corporate Governance, and Critical Thinking

"Studies show that humans need to drink 10 glasses of water a day" is an example of a(n):

Theories that focus only on actions or decisions alone are called deontological ethical theories.

A "non sequitur" used in an argument is a wrong conclusion:

Which of the following ethical theories focuses on decisions or action alone,irrespective of the result it produces?

________ protects the rights of those who are less privileged in society.

________ is a teleological ethical theory because it focuses on results by maximizing total social welfare.

Profit maximization is a deontological theory.

Which of the following fallacies results from observing two events and concluding that there is a causal link between them when there is no such link?

Coca-Cola's failed attempt to launch a new formula in 1985 is an example of:

Which of the following attacks the speaker for his argument,not his reasoning?

Profit maximization compels a decision maker to consider stakeholders other than the corporation and its shareholders.

The ________ fallacy generates support for a proposition by focusing on a victim's predicament.

By examining rights that are espoused by various stakeholders,decision makers are more likely to consider all the costs and benefits of their decisions and know which rights can adversely affect the firm's profitability if they fail to take them into account.

Critically thinking is not a skill that can be improved,someone either has it or they do not.

Doing or buying something merely because it is "just released" or "improved" is an example of:

Utilitarianism is based on the laissez faire theory of capitalism.

The purpose of the ________ is to increase penalties for corporate wrongdoers,establish rules designed to deter and prevent future wrongdoing,and encourage and enable corporate executives to be ethical and socially responsible.

Which of the following ethical theories illustrates that acting in one's selfish interests can ultimately result in ethical behavior and benefits to society?

The Nature of Law

The Resolution of Private Disputes

Business and the Constitution

Criminal Law and Procedure

Intentional Torts

Negligence and Strict Liability

Intellectual Property and Unfair Competition

Introduction to Contracts

The Agreement: Offer

The Agreement: Acceptance

Consideration

Reality of Consent

Capacity to Contract

Illegality

Writing

Rights of Third Parties

Performance and Remedies

Formation and Terms of Sales Contracts

Product Liability

Performance of Sales Contracts

Remedies for Breach of Sales Contracts

Personal Property and Bailments

Real Property

Landlord and Tenant

Estates and Trusts

Insurance Law

Introduction to Credit and Secured Transactions

Security Interests in Personal Property

Bankruptcy

Negotiable Instruments

Negotiation and Holder in Due Course

Liability of Parties

Checks and Electronic Transfers

The Agency Relationship

Third-Party Relations of the Principal and the Agent

Introduction to Forms of Business and Formation of Partnerships

Operation of Partnerships and Related Forms

Partners Dissociation and Partnerships Dissolution and Winding up

Limited Liability Companies, limited Partnerships, and Limited Liability Limited Partnerships

History and Nature of Corporations

Organization and Financial Structure of Corporations

Management of Corporations

Shareholders Rights and Liabilities

Securities Regulation

Legal and Professional Responsibilities of Auditors, Consultants, and Securities Professionals

Administrative Law

The Federal Trade Commission Act and Consumer Protection Laws

Antitrust: the Sherman Act

The Clayton Act, the Robinsonpatman Act, and Antitrust Exemptions and Immunities

Employment Law

Environmental Regulation

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