© 2012 Pearson Education, Inc. All Rights Reserved.
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Quiz Questions: Chapter One
1. According to the dictionary, the term ethics has a variety of different meanings. One of
its meanings is: The principles of conduct governing an individual or a group.
a. True
2. Moral standards can be distinguished from non-moral standards using the following
characteristics:
a. They deal with matters that can seriously injure or benefit humans.
b. Are not established or changed by authoritative bodies.
c. They are based on impartial considerations.
d. A & C
3. Ethics is the discipline that examines one’s moral standards, or the moral standards of
a society.
a. True
4. Though business ethics covers a variety of topics, three basic types of issues are:
a. Systematic, corporate and public
b. Systematic, corporate and individual
c. Individual, group and social
5. Ethical relativism is the theory that, because different societies have different ethical
beliefs, there is no rational way of determining whether an action is morally right or
wrong other than by asking the people of that society what they believe.
a. True
6. Lawrence Kohlberg identified twelve stages of moral development.
a. True
7. To evaluate the adequacy of moral reasoning, ethicists employ the following criteria:
a. Moral reasoning must be logical.
b. Factual evidence must be accurate, relevant, and complete.
c. Moral standards must be consistent.
d. A & B
© 2012 Pearson Education, Inc. All Rights Reserved.
20
8. Producing what the buying public wants may not be the same as producing what the
entirety of society needs. The argument is essentially making a normative judgment on
the basis of some assumed but unproved moral standards.
a. True
9. The “Loyal Agent Argument” states: An employer would want to be served in whatever
ways will advance his or her self-interests. Therefore, as a loyal agent of his or her
employer, the manager has a duty to serve his or her employer in whatever ways will
advance the employer’s self-interests.
a. True
10. Dr. P. Roy Vagelos, Merck’s head of research and development, decided to fund the
money required to develop Ivermectin to cure river blindness because of its large profit
potential.
a. True
11. The Ivory Coast farmers kidnapped young boys to provide a safe place for them to live?
a. True
12. Which chocolate candy maker(s) use morally tainted cocoa beans?
a. Hershey’s Milk Chocolate,
b. M & M Mars, Inc.
c. Nestle´ USA
13. According to Edward Freeman and David Reed corporate managers are obligated only to
the shareholders, and no one else, because they own the corporation.
a. True
14. Microsocial norms take priority over hypernorms.
a. True
15. Richard Scrushy, former CEO of HealthSouth, was convicted of___________?
a. Defrauding Medicare & falsifying reports
b. Stealing company property
c. Bribery, conspiracy and mail fraud