Question 1

No one believes that judging a job candidate based on what he or she does outside the work environment is ethical.

Accepted Answer

A) True 
 B)False

Question 2

In deciding questions of corporate social responsibility,Valley Disposal & Recycling,Inc.,is concerned with

Accepted Answer

A) how the corporation can best fulfill any ethical duty to society. 
B) the effect on corporate profits of ignoring any ethical duty to society. 
C) whether the corporation owes any ethical duty to society. 
D) all of the choices.

Question 3

Adhering strictly to all business laws is all that is necessary to fulfill all business ethics obligations.

Accepted Answer

A) True 
 B)False

Question 4

Flexo Trucking Company transports hazard-ous waste.Garn is a Flexo driver,whom the company knows drives longer hours than federal regula-tions permit.One night,Garn exceeds the limit and has an accident.Spilled chemicals contaminate Hill City's water source,forcing the residents to move away.Flexo acted unethically because

Accepted Answer

A) Flexo showed reckless disregard for Hill City's residents and others. 
B) Garn exceeded the federal time limit. 
C) harm was caused by an unfortunate accident. 
D) Hill City should have better protected its water source.

Question 5

Management's behavior sets the ethical tone of a firm.

Accepted Answer

A) True 
 B)False

Question 6

In making decisions for Smartt Investments,Rita uses a cost-benefit analysis.This is a part of

Accepted Answer

A) duty-based ethics. 
B) Kantian ethics. 
C) rights-based ethics. 
D) utilitarian ethics.

Question 7

At a meeting of employees,Fuel Injection Design & Manufacturing,Inc.'s managers announce the creation of a new company-wide code of ethical conduct and the initiation of an ad campaign to publicize the new code.They also say that any employees who do not adhere to the code will be discharged.The effectiveness of this code will be determined by

Accepted Answer

A) the commitment of company leadership to enforcing the code. 
B) the extent to which the employees comply with the code. 
C) a marketing campaign posted online to tout the firm's ethical tone. 
D) managementdirecting employees to "do as we say,not as we do."

Question 8

Ethics can be highly subjective and subject change over time.

Accepted Answer

A) True 
 B)False

Question 9

Olaf,an executive with Pharma Product Distribution,Inc.,has to decide whether to market a product that might have undesirable side effects for a small per-centage of users.How should Olaf de-cide whether to sell the prod-uct? How does the standard of ethics that is applied affect this answer?

Accepted Answer

The answer of Olaf,an executive with Pharma Product Distribution,Inc.,has to...

Question 10

Ethical standards would most likely be considered violated if Team Logos Merchandising Corporation deals with a company in a developing nation that

Accepted Answer

A) agrees to produce goods at Team Logos's desired price. 
B) goes unnoticed by "corporate watch" groups. 
C) routinely violates labor and environmental standards. 
D) pays its workers less than the U.S.minimum wage.

Question 11

Ethics is less certain than law.

Accepted Answer

A) True 
 B)False

Question 12

Ridgeline Excavation & Construction,LLC,creates an internal code of ethics.Like the codes of other firms,Ridgeline's company code is not

Accepted Answer

A) law. 
B) a set of rules that the company can enforce. 
C) an outline of the company's policies. 
D) a guide for decision makers facing ethical questions.

Question 13

According to utilitarianism,it matters how many people suffer a negative effect from an act.

Accepted Answer

A) True 
 B)False

Question 14

Peak & Vale Accountants provides other firms with accounting services.Questions of what is ethical involve the extent to which Peak & Vale has

Accepted Answer

A) a legal duty beyond those duties mandated by ethics. 
B) an ethical duty beyond those duties mandated by law. 
C) any duty beyond those mandated by both ethics and the law. 
D) any duty when it is uncertain whether a legal duty exists.

Question 15

MeatMen,Inc.spends a great deal of money and effort to ensure that all employees are safe on the job,that all products are safe for consumers,and that the environmental impact of the corporation is minimal.MeatMen appears to strongly believe in the concept of

Accepted Answer

A) the moral minimum. 
B) corporate social responsibility. 
C) "grey areas" in the law. 
D) government oversight.

Question 16

Richard suspects his supervisor of unethical accounting practices.However,he does not want to lose his job if he reports the supervisor and the supervisor finds out who reported him.An important feature of online reporting systems like NAVEX Global is

Accepted Answer

A) the employee reporting the unethical behavior can do so anonymously. 
B) the employee reporting the unethical behavior is financially compensated if he loses his job as a result of the report. 
C) the employee reporting the unethical behavior must give his full name when making the report. 
D) the employee reporting the unethical behavior must have another employee supporting him.

Question 17

David,the chief accounting officer of Tension Fencing Corporation,wants to be sure that all the company's accounts are legal and ethical.Sometimes,however,he is unsure exactly what is legal and what is illegal.David should

Accepted Answer

A) not worry about what is legal or illegal as long as the corporate executives benefit in the short run. 
B) try his best to not do anything illegal and keep documentation showing that he always acts in good faith. 
C) not worry about what is legal or illegal as long as it benefits the shareholders. 
D) not worry about what is legal or illegal as long as it benefits the chief executive of the corporation.

Question 18

Some companies set up confidential systems for employees to "raise red flags" about suspected unethical practices.

Accepted Answer

A) True 
 B)False

Question 19

Margaret is the top manager of Pecans,Inc.She sets strict ethical standards for all employees.Margaret,however,often takes some of the company's best nuts and sells them from her house.The ethical tone at Pecans,Inc.is

Accepted Answer

A) likely to be good because Margaret has set such strict standards for her employees. 
B) not likely to be good because although Margaret sets strict ethical standards for the other employees,she does not follow them. 
C) not related to either Margaret's ethical standards or her own unethical behavior. 
D) not likely to be good because employees tend to resent strict ethical standards.

Question 20

John is sales manager for Kleen 'N Brite Products,Inc.Compared to John's personal activities,his business activities most likely involve

Accepted Answer

A) more complex ethical issues. 
B) no ethical issues. 
C) simpler ethical issues. 
D) the same ethical issues.

Exam 3: Ethics and Business Decision Making

No one believes that judging a job candidate based on what he or she does outside the work environment is ethical.

In deciding questions of corporate social responsibility,Valley Disposal & Recycling,Inc.,is concerned with

Adhering strictly to all business laws is all that is necessary to fulfill all business ethics obligations.

Management's behavior sets the ethical tone of a firm.

In making decisions for Smartt Investments,Rita uses a cost-benefit analysis.This is a part of

Ethics can be highly subjective and subject change over time.

Olaf,an executive with Pharma Product Distribution,Inc.,has to decide whether to market a product that might have undesirable side effects for a small per-centage of users.How should Olaf de-cide whether to sell the prod-uct? How does the standard of ethics that is applied affect this answer?

Ethical standards would most likely be considered violated if Team Logos Merchandising Corporation deals with a company in a developing nation that

Ethics is less certain than law.

Ridgeline Excavation & Construction,LLC,creates an internal code of ethics.Like the codes of other firms,Ridgeline's company code is not

According to utilitarianism,it matters how many people suffer a negative effect from an act.

Peak & Vale Accountants provides other firms with accounting services.Questions of what is ethical involve the extent to which Peak & Vale has

MeatMen,Inc.spends a great deal of money and effort to ensure that all employees are safe on the job,that all products are safe for consumers,and that the environmental impact of the corporation is minimal.MeatMen appears to strongly believe in the concept of

Richard suspects his supervisor of unethical accounting practices.However,he does not want to lose his job if he reports the supervisor and the supervisor finds out who reported him.An important feature of online reporting systems like NAVEX Global is

David,the chief accounting officer of Tension Fencing Corporation,wants to be sure that all the company's accounts are legal and ethical.Sometimes,however,he is unsure exactly what is legal and what is illegal.David should

Some companies set up confidential systems for employees to "raise red flags" about suspected unethical practices.

Margaret is the top manager of Pecans,Inc.She sets strict ethical standards for all employees.Margaret,however,often takes some of the company's best nuts and sells them from her house.The ethical tone at Pecans,Inc.is

John is sales manager for Kleen 'N Brite Products,Inc.Compared to John's personal activities,his business activities most likely involve