Organizations can prevent the embarrassment and potential financial ruin caused by
whistle-blowing by creating an internal system that gives whistle-blowers the option of
being heard, thus resolving the issue in private.
Answer:
Parents can be charged with vicarious liability for the actions of their children.
Answer:
The three principles by which ethical dilemmas are resolved are successful in all
situations.
Answer:
A transparent organization tends to avoid open and honest communication with all its
stakeholders.
Answer:
The UN Global Compact is a voluntary corporate citizenship initiative endorsing 10
key principles that focus on four key areas of concern: the environment, anticorruption,
the welfare of workers around the world, and global human rights.
Answer:
Board members are not accountable to the company and its shareholders.
Answer:
Employees and stakeholders are required to follow their company’s code of ethics
strictly.
Answer:
Members of the board of directors are not eligible to be a part of the audit committee.
Answer:
One of the newest and increasingly questionable practices in the world of CSR is the
notion of making operations “carbon neutral.”
Answer:
The _____ Act of 1863 was designed to prevent profiteering from the Civil War.
Answer:
One of the arguments cited by employers for the use of web-monitoring at the
workplace is the concept of vicarious liability.
Answer:
Creditors, suppliers, and professional consultants represent the inside members of the
board of directors.
Answer:
Technological advances over the last two decades have made it more difficult to pass
the personal data of customers from one place to another.
Answer:
An ethical dilemma is a situation in which there is no obvious right or wrong decision,
but rather a right or right answer.
Answer:
Virtue ethics is the concept of living your life according to the similar virtues of
different societies.
Answer:
The Financial Stability Oversight Council is not authorized to act against a bank that
poses a threat to the financial stability of the United States if its assets exceed $50
billion.
Answer:
Prior to the passing of the Foreign Corrupt Practices Act, the Securities and Exchange
Commission was not authorized to penalize company executives for failing to disclose
payments under its securities rules.
Answer:
Research and development (R&D) professionals carry the responsibility for the future
growth of the organization.
Answer:
Utilizing the ends-based principle to resolve an ethical dilemma necessitates focusing
solely on the decisions that other people in your situation would arrive at.
Answer:
Rules of appropriate individual behavior represents the idea that the moral standards we
develop for ourselves impact our lives on a daily basis in our behavior and other types
of decisions we make.
Answer:
Multinational corporations include those corporations that generate products and/or
services in multiple countries and implement operational policies (marketing, staffing,
and production) that go beyond national boundaries.
Answer:
For organizations, international markets represent new customers as well as sources of
cheaper materials and cheap labor.
Answer:
Utilitarianism refers to the theory that suggests actions are taken out of duty and
obligation to a purely moral ideal, rather than based on the needs of the situation.
Answer:
Whistle-blowing is not considered ethical under any circumstances.
Answer:
According to the ERC, a good code of ethics is structured to liberate and empower
people to make more effective decisions with greater confidence.
Answer:
The Sarbanes-Oxley Act of 2002 incorporates the “comply or else” approach to
corporate governance.
Answer:
An ethical dilemma can be resolved with a satisfactory answer to the problem.
Answer:
Ethical CSR is a philanthropic approach to corporate social responsibility in which
organizations underwrite specific initiatives to give back to the company’s local
community or to designated national or international programs.
Answer:
Which of the following statements isTRUE of the social contract approach to corporate
management?
A. The primary focus of the old social contract laid emphasis on equal advancement in
the quality of life and economic growth.
B. The modern social contract approach argues that there is an obligation for the
corporation to meet the demands of the society rather than just the demands of a
targeted group of customers.
C. The consequences of the modern social contract approach to corporate management
is growth at the expense of rising costs, wages growing at a lower rate than inflation,
and so on.
D. The main focus of the old social contract was to maintain a longer-term perspective
than just the delivery of quarterly earnings numbers.
Answer:
Which of the following isTRUE of corporate ethics?
A. It has advanced from a core performance-assessment issue to an abstract debate.
B. It does not require the senior executives of a company to be accountable to
stakeholders.
C. It no longer deals with performance measurement, but with cosmetic public
relations.
D. It has moved from the domain of legal departments into the organizational
mainstream.
Answer:
Payments to foreign officials made in connection with expediting lawful customs
clearances and obtaining the issuance of entry or exit visas are considered bribes under
the Foreign Corrupt Practices Act.
Answer:
The evidence of a company’s misconducteven if supported by genuine, documented
proofwill be rejected and the case dismissed if there is evidence that the whistle-blower
was motivated by financial gain.
Answer:
An organization’s operating culture represents the sum of all the policies and
procedures, both written and informal.
Answer:
Which of the following statements isTRUE of marketing?
A. The marketing process is responsible for ensuring that the product design meets all
the required specifications.
B. Marketers see themselves as responsible for ensuring product quality.
C. Marketers see themselves as providing products (or services) to customers who have
already expressed a need for and a desire to purchase those products.
D. The marketing process is responsible for ensuring that the product gets manufactured
within the stipulated period of time.
Answer:
Under the Dodd-Frank Wall Street Reform and Protection Act of 2010, a whistle-blower
is penalized stiffly for acting against the Commodity Futures Trading Commission.
Answer:
With advances in technology, the availability of employees in the business environment
is no longer defined by their accessibility.
Answer:
The availability of ongoing technological advancements has made it easier to determine
precisely where work ends and personal life begins.
Answer:
Which of the following is a disadvantage of technological advances in a workplace?
A. Loss of privacy
B. Limited employee mobility
C. Reduced employee accessibility
D. Limited access to customers
Answer:
According to the value chain of an organization, which of the following is a line
function of an organization?
A. Operations
B. Supply chain management
C. Distribution
D. Product research and development
Answer:
Which of the following is advocated by both the OECD and the UN Global Compact?
A. Businesses should observe only the customs of their own country at all times.
B. Businesses should not involve themselves in the environmental issues of other
countries.
C. Businesses should utilize the natural resources of their host country to its fullest.
D. Businesses should abolish child labor, combat bribery, and fight corruption.
Answer:
A qui tam lawsuit is a lawsuit brought on behalf of _____ by a whistle-blower under the
False Claims Act of 1863.
A. multinational corporations
B. the federal government
C. small business owners
D. private enterprises
Answer:
Which of the following is TRUE of the False Claims Act of 1863?
A. It guaranteed the anonymity of nonfederal whistle-blowers.
B. It was designed to prevent profiteering from the Civil War.
C. It addressed the issue of retaliation against federal employees.
D. It imposed deadlines in processing whistle-blower complaints.
Answer:
The Greek philosopher Aristotle’s belief in individual character and integrity established
the concept of _____.
A. philosophical ethics
B. virtue ethics
C. The Golden Rule
D. utilitarianism
Answer:
The legal concept of _____ holds employers liable for the actions of their employees
through Internet communications to the same degree as if they had written those
communications on company letterhead.
A. cyberliability
B. cybersquatting
C. hyper-networking
D. virtual-mirroring
Answer:
Which of the following is an example of corporate social responsibility?
A. Brenner Enterprises gives its employees greater freedom in choosing projects.
B. Dawson Inc. uses clean-fuel technology shuttle for employee conveyance.
C. Larsen Inc. provides free lunch coupons to its employees.
D. Infinite Corp. promotes team building activities for employees.
Answer:
Which of the following is TRUE of the “comply or else” approach to corporate
governance?
A. It set stiff financial penalties for companies that refused to abide by its operational
standards.
B. It gave companies the flexibility to comply with its standards or explain why they
didn’t in their corporate documents.
C. It was extremely vague when it came to defining what would be an acceptable
explanation for noncompliance.
D. It was not incorporated into the Sarbanes-Oxley Act of 2002which governs ethical
behavior in corporations.
Answer:
The _____ is the senior executive responsible for monitoring an organization’s moral
standards both internally and externally.
A. ethics officer
B. assessing officer
C. chief knowledge officer
D. chief analytics officer
Answer:
Joe feels pressured to lie to his client to keep an important contract because of intense
market competition. He feels they will never discover the truth. Joe is:
A. facing a functional fixedness.
B. facing an ethical dilemma.
C. contemplating the instrumental value attached to the contract.
D. expressing a simple truth.
Answer:
Over the last five decades, corporate ethics has moved from the domain of human
resource departments into the _____.
A. legal department
B. finance and accounting department
C. talent management portfolio
D. organizational mainstream
Answer:
The _____ keeps track of company financial transactions by documenting money
coming in and money going out and balances the accounts at the end of the period.
A. auditing function
B. compliance function
C. accounting function
D. financial transactions function
Answer:
Less-developed nations are countries which:
A. have poor economic, social, and technological infrastructure.
B. are characterized by social stability and high standards of living.
C. are immune to the effects of economic phenomenon like inflation.
D. have strong bureaucracies and are characterized by political stability.
Answer:
Because of _____, which allows employees to log into their company’s network
remotely from any location, the concept of being “at work” is blurred.
A. wiretapping
B. hyper-networking
C. telecommuting
D. cybersquatting
Answer:
ThinkNow is an advertising firm based in Dallas, Texas. One of their departments is in
charge of the hiring process and is responsible for orientation of the newly hired
employees. Which of the following areas does this department represent?
A. Finance
B. Human resources
C. Research and development
D. Information systems
Answer:
_____ is the system that directs and controls business organizations.
A. Business structuralism
B. Organizational resonance
C. Retail optimization
D. Corporate governance
Answer:
Derek oversees the investigations of wrongdoings in his organization and provides
additional guidance and support to the employees. He also develops training programs
for every department to maintain organizational conduct. Which of the following
positions does Derek most likely hold in his company?
A. Chief knowledge officer
B. Assessing officer
C. Ethics officer
D. Chief analytics officer
Answer:
The _____ approach to corporate management is considered simplistic because it
focuses on the internal world of the corporation itself and assumes that there are no
external consequences to the actions of the corporation and its managers.
Answer:
Discuss the pressures placed on an organization’s accounting department to maintain
creative bookkeeping techniques.
Answer:
The companies that support the policy of _____ believe that doing what’s best in the
long-term interest of the customer is ultimately doing what’s best for the company.
Answer:
Corporate ethics has moved from the domain of legal and human resource departments
into the _____ with the appointment of corporate ethics officers with clear mandates.
Answer:
_____ can record information that has been typed into a computer using a keyboard
even after the information has been deleted.
Answer:
The lawsuits brought under the federal Civil False Claims Act establishes a
whistle-blower as a deputized petitioner for the _____.
Answer:
The King II report recommended moving beyond the traditional single bottom line of
_____.
Answer:
_____ implies that an organization operates with an awareness of its obligation to the
society.
Answer:
Creditors, vendors, customers, suppliers, and wholesalers are all examples of an
organization’s _____.
Answer:
A _____ is an employee who discovers corporate misconduct and chooses to bring it to
the attention of others.
Answer:
What are the functions of a well-written code of ethics?
Answer:
The _____ argument and the recent availability of capable technology have been
driving companies toward creating an Orwellian work environment.
Answer:
_____, under federal law, is acceptable where the camera focuses on publicly accessible
areas.
Answer:
_____ is a particular set of attitudes, beliefs, and practices that characterize a group of
individuals.
Answer:
Money has _____ value, which means that money is valued for what it can buy rather
than for itself.
Answer:
The European Economic Community is an example of a(n) _____ of countries that
work together to leverage their size and geographical advantage to take bigger roles on
the global economic stage.
Answer:
_____ is based on the assumption that one’s pursuit of an ethical ideal will match others’
ethical ideals.
Answer: