Question 1

Which of the following is NOT a benefit of CSR?

Accepted Answer

A)  Qualifying for additional tax deductions 
B)  Avoiding litigation 
C)  Attracting talented employees 
D)  Obtaining lower financing interest rates

Question 2

Describe the link between a firm's overall performance and corporate social responsibility.

Accepted Answer

The answer of  Describe the link between a firm's overall...

Question 3

Whistle-blowers usually report problems with the firm because

Accepted Answer

A)  they believe the firm will lose profits. 
B)  they believe it is their ethical duty to report the problem. 
C)  the firm needs to be more socially responsible. 
D)  they will receive extra compensation from the government.

Question 4

Maynard Inc., a construction company, planned to set up operations in a foreign country. However, due to bureaucracy problems and paperwork delays in the local government offices, the company was unable to begin operations. The company distributed gifts and holiday vouchers to officials present in the local offices in order to speed up the paperwork. In this scenario, Maynard Inc. is engaged in

Accepted Answer

A)  bid-rigging. 
B)  whistle-blowing. 
C)  bribery. 
D)  moral discrimination.

Question 5

A firm's ethical responsibilities are

Accepted Answer

A)  behaviors enforced on the firm. 
B)  implemented to meet financial obligations. 
C)  behaviors the general population expects. 
D)  defined by the federal government.

Question 6

Corporate social responsibility activities that are directly related to business activities so that they can combine social welfare with financial welfare are known as

Accepted Answer

A)  accountable CSR. 
B)  strategic CSR. 
C)  inventive CSR. 
D)  ethical CSR.

Question 7

_____ responsibilities refer to a business's duty to make a profit and increase shareholder value.

Accepted Answer

A)  Ethical 
B)  Judicial 
C)  Economic 
D)  Social

Question 8

CSR is considered strategic when it supports core business activities that contribute to a firm's mission, vision, and strategy.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is a feature of firms practicing corporate social responsiveness?

Accepted Answer

A)  They stick to a rigid organizational plan, irrespective of the conditions. 
B)  They keep the needs of stakeholders on the back burner and concentrate on social issues. 
C)  They seek to influence employee behavior by controlling employee interaction inside the organization. 
D)  They monitor and assess environmental conditions on a constant basis.

Question 10

_____ is a subset of justice that claims that rules should be clearly stated, consistently obeyed, and impartially enforced.

Accepted Answer

A)  Distributive justice 
B)  Procedural justice 
C)  Retributive justice 
D)  Conditional justice

Question 11

In business, members of a partnership are fiduciaries to one another.

Accepted Answer

A) True 
 B)False

Question 12

A scientist receives a yearly grant from a pharmaceutical company that funds research on a new cancer drug. After conducting the research, the scientist learns that the new cancer drug is less effective compared to many other cancer drugs in the market. After the scientist shares this information with the company, they encourage him to "reanalyze the data" in order to find different results favorable to the pharmaceutical company. The company also suggests that if different results are not found, it will withdraw all research funding from the scientist. Which of the following is the scientist facing?

Accepted Answer

A)  A conflict of interest 
B)  A trade secret violation 
C)  A privacy violation 
D)  A whistle-blowing allegation

Question 13

Explain economic responsibilities of a firm.

Accepted Answer

The answer of  Explain economic responsibilities of a firm....

Question 14

A business's obligation to pursue policies, decisions, and actions that align with the objectives and values of society is known as

Accepted Answer

A)  cultural responsibility. 
B)  stakeholder responsibility. 
C)  corporate social responsibility. 
D)  economic responsibility.

Question 15

Jim, a programing expert at CL Corp., creates a new software program. However, before he can reveal his program, he receives an attractive employment offer from a rival company. Jim resigns from CL Corp. and accepts the rival company's offer, and he mentions the new software to his new employer. In this scenario, Jim is

Accepted Answer

A)  engaging in a conflict of interest. 
B)  revealing a trade secret. 
C)  competing fairly in the open market. 
D)  violating employee privacy.

Question 16

Gary has been charged with the task of establishing business relationships in a foreign country where it is customary to lavish decision makers with expensive gifts. Gary is faced with the ethical dilemma of

Accepted Answer

A)  CSR. 
B)  conflict of interest. 
C)  bribery. 
D)  insider trading.

Question 17

When Macy purchased P&G products because he believed the manufacturer to be reputable and socially responsible, it provided an example of

Accepted Answer

A)  utilitarianism. 
B)  Kantianism. 
C)  CSR as a competitive advantage. 
D)  conflict of interest.

Question 18

Which of the following is most likely to be a reason why CSR improves a firm's profit margins?

Accepted Answer

A)  CSR activities help attract and retain top-notch employees. 
B)  Investment in CSR leads to an increase in stock prices due to increased liquidity. 
C)  Investment causes the company's suppliers to grant greater trade discounts. 
D)  CSR increases the investment that a society is likely to make in an organization.

Question 19

Define and explain the concept of utilitarianism.

Accepted Answer

The answer of  Define and explain the concept of utilitarianism....

Question 20

The fact that companies exposed millions of Americans to asbestos while operating within the law provides support for

Accepted Answer

A)  the need for ethics in business. 
B)  the need for ethics in private life. 
C)  tax penalties on companies that do not practice CSR. 
D)  the need for more public relations campaigns.

Exam 3: Ethics and Corporate Social Responsibility