BUS 346 Week 3 Quiz

BUS 346 Week 3 Quiz | Assignment Help | Mercer University

Exam 3: Chapter 3

Question 1

Focusing on a firm's short-term profits without considering the company’s long-term needs may be acting unethically.

o   True

o   False

Question 2

To be a “good citizen,” hen making decisions a business should not evaluate the public relations impact.

o   True

o   False

Question 3

Acting in good faith gives a business firm a better chance of defending its actions in court.

o   True

o   False

Question 4

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

o   True

o   False

Question 5

The effectiveness of a company’s code of ethics is determined by the commitment of the company leadership to enforcing the code.

o   True

o   False

Question 6

Corporations can be perceived as owing ethical duties to groups other than their shareholders.

o   True

o   False

Question 7

Bribery of foreign government officials is both an ethical and a legal issue.

o   True

o   False

Question 8

Ethics is less certain than law.

o   True

o   False

Question 9

Managers should apply the same ethical standards to themselves and to their employees.

o   True

o   False

Question 10

Compliance with the law does not necessarily fulfill all ethical obligations.

o   True

o   False

Question 11

Corporations can be good citizens by promoting goals that society deems worthwhile.

o   True

o   False

Question 12

Ethics can be highly subjective and subject change over time.

o   True

o   False

Question 13

Setting realistic workplace goals can increase the probability that employees will act unethically.

o   True

o   False

Question 14

An ethical code of conduct typically outlines a company’s policies.

o   True

o   False

Question 15

The legality of an action is always clear.

o   True

o   False

Question 16

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

o   True

o   False

Question 17

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

o   True

o   False

Question 18

Business ethics focuses on ethical behavior in the business world.

o   True

o   False

Question 19

Many companies have provided guidelines about what is appropriate when making posts on social media accounts.

o   True

o   False

 Question 20

In ethical terms, a cost-benefit analysis is an assessment of the negative and positive effects of alternative actions on individuals.

o   True

o   False

Question 21

Any decision by the management of Fast-Food Franchise Corporation may significantly affect its

o   operators only.

o   operators, owners, suppliers, the community, or society as a whole.

o   owners only.

o   suppliers, the community, or society as a whole only.

Question 22

According to the view that New Allied Manufacturing Corporation is a “citizen,” New Allied is expected to

o   participate in bettering communities and society.

o   primarily generate revenue for its owners.

o   have no responsibility other than profit maximization.

o   efficiently allocate scarce resources.

Question 23

In business deals, Fiona, the chief executive officer of Snacks n’ Bites, Inc., follows duty-based ethical standards. These are most likely derived from

o   a corporate ethics code.

o   a cost-benefit analysis.

o   philosophical reasoning.

o   the law.

Question 24

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

o   more complex ethical issues.

o   no ethical issues.

o   simpler ethical issues.

o   the same ethical issues.

Question 25

Hailey, a lawyer on the staff of International Group, always considers the consequences of an action rather than the nature of the action itself when making ethical decisions in a business context. Hailey is applying

o   the utilitarian theory of ethics in business contexts.

o   religious beliefs in business contexts.

o   Kantian ethics in business contexts.

o   the principle of rights theory of ethics in business contexts.

Question 26

Destiny and Eduardo, investors in Competitive Acquisitions Corporation, are dissatisfied with the profit-maximization theory of corporate objectives. These investors and others who look beyond profits and dividends may consider the triple bottom line, which does not include a corporation’s

o   impact on people.

o   profits.

o   impact on the planet.

o   congressional lobbying activities.

Question 27

In studying the legal environment of business, Professor Dooley’s students also review ethics in a business context. Ethics includes the study of what constitutes

o   fair or just behavior.

o   financially rewarding behavior.

o   legal behavior.

o   religious behavior.

Question 28

With respect to the potential for American Discount Stores, Inc., and any other major corporation to suffer damage to its reputation or loss of profits through negative publicity, the Internet has

o   increased the potential.

o   decreased the potential.

o   had no impact.

o   allowed a company to keep negative information or opinions hidden.

Question 29

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

o   agrees to produce goods at Team Logos’s desired price.

o   goes unnoticed by “corporate watch” groups.

o   routinely violates labor and environmental standards.

o   pays its workers less than the U.S. minimum wage.

Question 30

Julia, the head executive of Fine Woolen Sweaters, Inc., is a committed Christian who strongly adheres to the Ten Commandments. One of Julia’s employees is found to be stealing sweaters and giving them to a local homeless shelter. Julia is likely to

o   punish the employee for stealing even though the employee’s motive was benevolent.

o   view the employee’s actions as justified because the employee was clothing the poor.

o   contribute more sweaters to the homeless shelter.

o   gently reprimand the employee without suggesting that the employee’s actions were unethical.

Question 31

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

o   duty-based ethics.

o   Kantian ethics.

o   rights-based ethics.

o   utilitarian ethics.

Question 32

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

o   the commitment of company leadership to enforcing the code.

o   the extent to which the employees comply with the code.

o   a marketing campaign posted online to tout the firm’s ethical tone.

o   management directing employees to “do as we say, not as we do.”

Question 33

Mary works in the public relations department of New Trends Sales Company. Her job includes portraying New Trends’s activities in their best light. In this context, ethics consist of

o   a different set of principles from those that apply to other activities.

o   the same moral principles that apply to non-business activities.

o   those principles that produce the most favorable financial outcome.

o   whatever saves New Trends’s “face.”

Question 34

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

o   not worry about what is legal or illegal as long as the corporate executives benefit in the short run.

o   try his best to not do anything illegal and keep documentation showing that he always acts in good faith.

o   not worry about what is legal or illegal as long as it benefits the shareholders.

o   not worry about what is legal or illegal as long as it benefits the chief executive of the corporation.

Question 35

In making business decisions, Glenda, personnel manager for HVAC Maintenance, Inc., applies her belief that all persons have fundamental rights. This is

o   a religious rule.

o   the categorical imperative.

o   the principle of rights.

o   utilitarianism.

Question 36

Bob, research manager for CornAgri Products, Inc., applies utilitarian ethics to determine that an action is morally correct when it produces the greatest good for

o   Bob.

o   CornAgri.

o   the fewest people.

o   the most people.

Question 37

A common ethical dilemma faced by the management of Spencer Hydraulics Corporation involves the effect that its decision will have on

o   one group as opposed to another.

o   the firm's competitors.

o   the government.

o   the U.S. Chamber of Commerce.

Question 38

To assist in detecting illegal bribes, International Civil Engineers, Inc., and all other U.S. companies must

o   conceal financial records that reveal past bribes.

o   keep records that “accurately and fairly” reflect their financial activities.

o   make bribes through third parties rather than directly to officials.

o   permit payments to foreign officials that are unlawful in that country.

Question 39

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

o   the employee reporting the unethical behavior can do so anonymously.

o   the employee reporting the unethical behavior is financially compensated if he loses his job as a result of the report.

o   the employee reporting the unethical behavior must give his full name when making the report.

o   the employee reporting the unethical behavior must have another employee supporting him.

Question 40

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

o   law.

o   a set of rules that the company can enforce.

o   an outline of the company’s policies.

o   a guide for decision makers facing ethical questions.