Question 1

List the two main schools of ethical thought and their main focus.

Accepted Answer

The two main schools of ethical thought

Question 2

Which of the following statements regarding the teleological theory is NOT true?

Accepted Answer

A)  Teleological theory is concerned with consequences. 
B)  Teleological theory judges the ethical good of an action by the effect of the action on others. 
C)  Teleological theory focuses more on the motivation and principle behind an action. 
D)  Teleological theory is concerned with consequences and judges the ethical good of an action by the effect of the action on others. 
A)  Teleological theory is concerned with consequences. 
B)  Teleological theory judges the ethical good of an action by the effect of the action on others. 
C)  Teleological theory focuses more on the motivation and principle behind an action. 
D)  Teleological theory is concerned with consequences and judges the ethical good of an action by the effect of the action on others.

Question 3

The subprime mortgage crisis,accounting scandals,and payment of bribes in international business of the past 40 years all indicate that government regulation is a good substitute for knowledgeable self-restraint.

Accepted Answer

A) True 
 B)False

Question 4

Milton Friedman argued that a company with an action plan for social responsibility is essentially acting in a fundamentally subversive way.

Accepted Answer

A) True 
 B)False

Question 5

Utilitarianism seeks to equalize the benefit to everyone.

Accepted Answer

A) True 
 B)False

Question 6

The Organization of Economic Cooperation and Development (OECD)comprises:

Accepted Answer

A)  nations from North America,Europe,and Asia-Pacific. 
B)  a subsidiary of the European Union. 
C)  nations who entered into the North American Free Trade Agreement. 
D)  states inside the United States. 
A)  nations from North America,Europe,and Asia-Pacific. 
B)  a subsidiary of the European Union. 
C)  nations who entered into the North American Free Trade Agreement. 
D)  states inside the United States.

Question 7

Discuss and explain the ethical business leader's decision tree referenced in the text.

Accepted Answer

Students should discuss the qu

Question 8

Immanuel Kant argued that spending money in ways that are not consistent with shareholder wishes is tantamount to imposing a tax and unilaterally deciding where the money will be spent.

Accepted Answer

A) True 
 B)False

Question 9

You are the owner of a small Internet company.You are planning a public offering in 12 months.You ask your accountant to prepare an optimistic business model that shows a greater profitability potential than a conservative estimate would produce.When the accountant questions your profitability assumptions,you remind the accountant of the 10,000 shares of the company stock the accountant was able to purchase at a low price.A public offering would dramatically increase the value of those shares.Discuss the ethical issues faced by the owner and the accountant.How should they be resolved?

Accepted Answer

The ethical business leader's decision t

Question 10

Managers who create ethical solutions while maximizing shareholder value are said to find:

Accepted Answer

A)  the universalizability principle. 
B)  distributive justice. 
C)  the sweet spot. 
D)  shareholder primacy. 
A)  the universalizability principle. 
B)  distributive justice. 
C)  the sweet spot. 
D)  shareholder primacy.

Question 11

A company's CEO does not play a significant role in instilling a sense of ethics throughout the organization.

Accepted Answer

A) True 
 B)False

Question 12

According to __________,social policies developed behind the veil of ignorance would create a system benefiting the __________.

Accepted Answer

A)  Rawls; majority 
B)  Rawls; minority 
C)  Rawls; least well off 
D)  Kant; most well off 
A)  Rawls; majority 
B)  Rawls; minority 
C)  Rawls; least well off 
D)  Kant; most well off

Question 13

You are the CEO of a multibillion-dollar company.Your company employs more than 75,000 people.The company is being sued for $100 million as the result of racial discrimination against your customers.Your investigation reveals that some of your managers are actively violating the law.Discuss the steps you would take to ensure your company's compliance with ethical norms and legal requirements.

Accepted Answer

Students should discuss the ne

Question 14

According to St.Thomas Aquinas,only laws that followed __________ were true and just.

Accepted Answer

A)  reasoned law 
B)  customary law 
C)  eternal law 
D)  localized law 
A)  reasoned law 
B)  customary law 
C)  eternal law 
D)  localized law

Question 15

Which of the following is true regarding shareholder primacy?

Accepted Answer

A)  It is never legally mandated. 
B)  It is always legally mandated. 
C)  It is legally mandated only in very narrow circumstances. 
D)  There is no such thing. 
A)  It is never legally mandated. 
B)  It is always legally mandated. 
C)  It is legally mandated only in very narrow circumstances. 
D)  There is no such thing.

Question 16

Kant's categorical imperative states that:

Accepted Answer

A)  the form of an action rather than the intended result determines the ethical worth. 
B)  no one person's interest is given more weight than another. 
C)  distribution favors the person getting the worst share. 
D)  morally objectionable actions can never be in the best interests of society. 
A)  the form of an action rather than the intended result determines the ethical worth. 
B)  no one person's interest is given more weight than another. 
C)  distribution favors the person getting the worst share. 
D)  morally objectionable actions can never be in the best interests of society.

Question 17

Companies perceived to act unethically often suffer financial setbacks.What type of company is especially sensitive to public perception based on where its income comes from?

Accepted Answer

A)  Oil refineries 
B)  Investment banks 
C)  Consumer products companies 
D)  Commodities processors 
A)  Oil refineries 
B)  Investment banks 
C)  Consumer products companies 
D)  Commodities processors

Question 18

Which of the following is a term for the maximization of shareholder value?

Accepted Answer

A)  Shareholder importance 
B)  Shareholder primacy 
C)  Value of shares maximization 
D)  Corporate allocation 
A)  Shareholder importance 
B)  Shareholder primacy 
C)  Value of shares maximization 
D)  Corporate allocation

Question 19

In 2015,the average worker's salary was $36,875,or 35 times less than the average total compensation of CEOs of a company on the Standard and Poor's Index.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following statements about socially responsible funds is NOT true?

Accepted Answer

A)  Few large mutual fund companies or 401(k)retirement plans offer socially responsible options for investment. 
B)  Investment in socially responsible funds has grown in the United States. 
C)  Investment in socially responsible funds has grown in Europe. 
D)  The Coalition for Environmentally Responsible Economics promotes investor guidelines focused on environmental awareness in the context of corporate activities. 
A)  Few large mutual fund companies or 401(k)retirement plans offer socially responsible options for investment. 
B)  Investment in socially responsible funds has grown in the United States. 
C)  Investment in socially responsible funds has grown in Europe. 
D)  The Coalition for Environmentally Responsible Economics promotes investor guidelines focused on environmental awareness in the context of corporate activities.

Exam 2: Ethics-And-Law

List the two main schools of ethical thought and their main focus.

Which of the following statements regarding the teleological theory is NOT true?

The subprime mortgage crisis,accounting scandals,and payment of bribes in international business of the past 40 years all indicate that government regulation is a good substitute for knowledgeable self-restraint.

Milton Friedman argued that a company with an action plan for social responsibility is essentially acting in a fundamentally subversive way.

Utilitarianism seeks to equalize the benefit to everyone.

The Organization of Economic Cooperation and Development (OECD)comprises:

Discuss and explain the ethical business leader's decision tree referenced in the text.

Immanuel Kant argued that spending money in ways that are not consistent with shareholder wishes is tantamount to imposing a tax and unilaterally deciding where the money will be spent.

Managers who create ethical solutions while maximizing shareholder value are said to find:

A company's CEO does not play a significant role in instilling a sense of ethics throughout the organization.

According to __________,social policies developed behind the veil of ignorance would create a system benefiting the __________.

According to St.Thomas Aquinas,only laws that followed __________ were true and just.

Which of the following is true regarding shareholder primacy?

Kant's categorical imperative states that:

Companies perceived to act unethically often suffer financial setbacks.What type of company is especially sensitive to public perception based on where its income comes from?

Which of the following is a term for the maximization of shareholder value?

In 2015,the average worker's salary was $36,875,or 35 times less than the average total compensation of CEOs of a company on the Standard and Poor's Index.

Which of the following statements about socially responsible funds is NOT true?

Law-Value-Creation-And-Risk-Management

Sources of Law Courts and Dispute Resolution

Constitutional Bases For Business Regulation

Agency

Administrative-Law

Contracts

Sales Licensing and-E Commerce

Torts and Privacy Protection

Product-Liability

Intellectual-Property

The Employment Agreement

Civil Rights and Employment Discrimination

Criminal-Law

Environmental-Law-And-Sustainability

Antitrust

Consumer-Protection

Real Property And Land Use

Forms Of Business Organizations

Directors Officers And Controlling Shareholders

Public And Private Offerings Of Securities

Securities Fraud And Insider Trading

Debtor Creditor Relations And Bankruptcy

International Law And Transactions

Filters

According to ,social policies developed behind the veil of ignorance would create a system benefiting the .