1. An ethical issue is a problem, situation, or opportunity
a. that has no correct answer.
b. that harms the environment.
c. requiring society as a whole to choose among several actions that must be evaluated as right or wrong.
d. requiring an individual, group, or organization to choose among several actions that must be evaluated as right
or wrong, ethical or unethical.
e. requiring an individual, group, or organization to choose between harming consumers or the environment and
earning more profits.
2. Ethical issues in business typically arise because of conflicts between individuals‘ personal moral philosophies and
values and the
a. values and attitudes of the organization in which they work.
b. values and attitudes of the society in which they live.
c. values and attitudes of the organization in which they work and the society in which they live.
d. laws and regulations of the country in which they live.
e. values and attitudes of their parents and religion.
3. is an important element of virtue and means being whole, sound, and in unimpaired condition.
a. Optimization
b. Ethical issue
c. Honesty
d. Trust
e. Integrity
4. A court found an oil company guilty of placing profits over the safety and well-being of its employees. This situation
can be classified as
a. ethical.
b. unethical.
c. an ethical issue.
d. a dilemma.
e. a justice issue.
5. A person uncomfortable with his employer‘s unspoken policy of hiring only white men is experiencing
a. a conflict of interest.
b. an ethical issue.
c. a feeling of guilt.
d. cognitive dissonance.
e. a moral attribute.
6. Issues related to fairness and honesty may arise because business is sometimes regarded as a
a. legal case, where everything must be done to the letter of the law.
b. contest, with the most ethical firm “winning.”
c. guerilla war where anything goes in the fight for consumers’ dollars.
d. game governed by its own rules rather than those of society.
e. game governed by the rules of society.
7. War metaphors are common in business. This kind of mindset can be dangerous for business leaders because
a. it may lead executives to become violent.
b. it may foster the idea that honesty is unnecessary in business.
c. it may lead organizations to be excessively aggressive.
d. business is not like warfare and the metaphors are not appropriate.
e. business is more like a game than a war.
8. Conflicts of interest exist when employees must choose whether to
a. advance their own personal interests, those of the organization, or those of some other group.
b. advance the interests of the organization or those of society.
c. accept bribes or not.
d. carry out an assignment they perceive to be unethical.
e. report an unethical coworker.
9. is the offering of something of value in order to gain an illicit advantage.
a. Shoulder surfing
b. Hacking
c. Gift exchange
d. Conflicts of interest
e. Bribery
10. Concerns involving copyright infringement on books, movies and music, and other illegally produced goods relate to
which type of ethical issue?
a. Conflict of interest
b. Honesty
c. Communications
d. Discrimination
e. Intellectual property rights
11. is defined as any purposeful communication that deceives, manipulates, or conceals facts in order to create a
false impression.
a. Stealing
b. Lying
c. Fraud
d. Misappropriation
e. Accounting fraud
12. In marketing communications, lying causes predicaments for companies because it destroys
a. trust.
b. honor.
c. confidence.
d. integrity.
e. products.
13. When a commercial states that a product is superior to any other on the market, the marketer risks accusations of
a. concealed facts.
b. false labeling.
c. deceptive advertising.
d. concealed facts.
e. puffery.
14. Optimization is defined as
a. the quality of being just, equitable, and impartial.
b. a trade-off between equity and efficiency.
c. an interchange of giving and receiving in social relationships.
d. how wealth or income is distributed between employees within a company.
e. a lack of integrity, incomplete disclosure, and an unwillingness to tell the truth.
15. Which of the following has been identified by the Ethics Resource Center as the leading form of observed
misconduct in organizations?
a. Discrimination
b. Bullying
c. Lying
d. Misuse of company resources
e. Sexual harassment
16. An activity is probably ethical if it
a. is approved of by most individuals in the organization and is customary in the industry.
b. is approved of by no one in the organization, but has been carried out in the industry before.
c. is customary in the industry.
d. is not illegal.
e. does not make consumers feel cheated, deceived, or manipulated.
17. The first step toward understanding business ethics is to
a. know your company‘s ethical policies.
b. know your own morals and philosophies.
c. know society’s ethical policies.
d. develop ethical-issue awareness.
e. develop a set of decision-making rules.
18. Among retail stores, is a larger problem than customer shoplifting.
a. poor stock performance
b. weak leadership
c. internal employee theft
d. misuse of merchandise
e. employee dissatisfaction
19. The ethical decision-making process begins
a. with a conflict of interest.
b. when an individual experiences a conflict between his or her values and those of his or her firm.
c. when stakeholders trigger ethical issue awareness and individuals openly discuss it with others.
d. with a conflict in values.
e. when an individual experiences a conflict between his or her values and those of society.
20. Which of the following is not a side-effect of being the victim of workplace bullying?
a. Increased productivity
b. Sleep disturbance
c. Depression
d. Increased sick days
e. Stomach problems
21. Accountants must abide by a strict code of ethics that defines their responsibilities to
a. their clients only.
b. their clients and the public interest.
c. the public only.
d. their investors and shareholders.
e. government regulators.
22. Which of the following statements is most correct?
a. Affirmative action programs require quotas to govern employment decisions.
b. Affirmative action programs have eliminated discrimination in employment.
c. Affirmative action programs are required in all organizations by law.
d. Affirmative action programs involve efforts to recruit, hire, train, and promote qualified individuals from groups
that have traditionally been discriminated against on the basis of race, gender, or other characteristics.
e. Affirmative action programs involve efforts to avoid recruiting, hiring, training, and promoting qualified
individuals from groups that have traditionally been discriminated against on the basis of race, gender, or other
characteristics.