Question 1

When Rhea used her company credit card to buy $50,000 worth of new furniture for her house, she was fired. Which type of misconduct does this exemplify?

Accepted Answer

Using a company credit card for personal expenses is an example of misuse of company resources. Serious resource abuse can result in firing or legal repercussions.

Question 2

Which country is included in the list of least corrupt countries?

Accepted Answer

Denmark is one of the least corrupt countries, while Transparency International rated Yemen, Syria, North Korea, South Sudan, and Somalia as the most corrupt countries.

Question 3

A hairdryer manufacturer produced a new model that could dry a person's hair in under five minutes. When customers used this hairdryer and experienced scalp and hand burns, the manufacturer was required to create and enforce detailed plans to prevent future burns. This example relates to

Accepted Answer

This example relates to fairness and honesty. Companies are expected to disclose potential harm caused by product use.

Question 4

The European Commission investigated Google to determine whether it promoted its own search results over those of other search engines in spite of their relevance. The aspect of fairness at issue here is

Accepted Answer

One aspect of fairness relates to competition. Companies sometimes attempt to gain control over markets by using questionable practices that harm competition. The European Commission investigated Google to determine whether it was promoting its own search results over those of competitors in spite of their relevance.

Question 5

All of the following are associated with dishonesty EXCEPT

Accepted Answer

Dishonesty is usually associated with a lack of integrity, lack of disclosure, and lying. Stealing and cheating are other examples of dishonesty.

Question 6

In the realm of business ethics, when automobile companies fail to issue recalls in a timely manner, this is an issue related to

Accepted Answer

Truthfulness about product safety and quality is also important to consumers. Takata pleaded guilty to fraud and providing false data and agreed to pay $1 billion in a settlement to victims and car manufacturers for exploding airbags.

Question 7

People in the entertainment industry claim that requiring warning labels on movies and videogames violates their ________ right.

Accepted Answer

People in the entertainment industry claim that requiring warning labels on movies and videogames violates their First Amendment right to freedom of expression. Other consumers believe that labeling is needed to protect children from harmful influences.

Question 8

Who is engaged in plagiarism?

Accepted Answer

Plagiarism is taking someone else's work and presenting it as your own without mentioning the source. When Bill claimed Nathan's idea as his own, he committed plagiarism.

Question 9

Which of the following indicates that a person has begun the process of resolving an ethical issue?

Accepted Answer

Once a person has recognized an ethical issue and can openly discuss it with others, he or she has begun the process of resolving the issue.

Question 10

Which of the following is NOT a question to consider in determining whether an action is ethical?

Accepted Answer

The questions to consider in determining whether an action is ethical are: Are there any potential legal restrictions or violations that could result from the action? Does your company have a specific code of ethics or policy on the action? Is this activity customary in your industry? Would this activity be accepted by your co-workers? How does this activity fit with your own beliefs and values?

Question 11

Lance's boss often goes on Facebook at work. As a result, the rest of his team goes on Facebook as well. This is an example of which factor of influence regarding ethical behavior?

Accepted Answer

This is an example of the influence of managers. If your boss goes on Facebook at work, you and your co-workers are more likely to do so as well.

Question 12

Kian's company, Microtech, does not have established rules and policies on ethics. It is a small, independent company that depends on its employees to use their own judgment. This structure can lead to

Accepted Answer

If a company fails to provide good examples and direction for appropriate conduct, confusion and conflict will develop and result in the opportunity for misconduct.

Question 13

All of the following are true of the causes of ethical conflict EXCEPT

Accepted Answer

Business managers and employees often experience some tension between their own ethical beliefs and their obligations to the organizations in which they work. Many employees utilize different ethical standards at work than they do at home. This conflict increases when employees feel that their company is encouraging unethical conduct or exerting pressure on them to engage in it. Having a code of conduct decreases ethical conflict for employees.

Question 14

A set of formalized rules and standards that describes what a company expects of its employees is called a

Accepted Answer

Codes of ethics are formalized rules and standards that describe what the company expects of its employees.

Question 15

According to the National Business Ethics Survey, employees in organizations that have written codes of conduct and ethics training, ethics offices or hotlines, and systems for reporting are more likely to

Accepted Answer

According to the National Business Ethics Survey, employees in organizations that have written codes of conduct and ethics training, ethics offices or hotlines, and systems for reporting are more likely to report misconduct when they observe it. The survey found that a company's ethical culture is the greatest determinant of future misconduct.

Question 16

Kellen just took a job as a financial advisor with a large firm. He wants to make sure that all of his business dealings are ethical. Which of the following will give him guidance on any gray or ambiguous area he may face at his new job?

Accepted Answer

Among the reasons why a code of ethics is important is that it gives guidance to employees when facing gray or ambiguous situations or ethical issues that they have never faced before.

Question 17

What is a reason why a code of ethics is important?

Accepted Answer

A code of ethics is important because it alerts employees about important issues and risks to address. It also provides values such as integrity, transparency, honesty, and fairness; gives guidance to employees when facing gray or ambiguous situations; alerts employees to systems for reporting; establishes uniform ethical conduct; serves as an important document for communicating to the public, suppliers, and regulatory authorities; and provides the foundation for evaluation and improvement of ethical decision making.

Question 18

All of the following are true of current trends in ethics programs EXCEPT

Accepted Answer

The current trend is to move away from legally based ethical initiatives and toward cultural- or integrity-based initiatives that make ethics a part of core organizational values. Organizations recognize that effective business ethics programs are good for business performance. Firms that develop higher levels of trust function more efficiently and effectively and avoid damaged company reputations and product images.

Question 19

Which of the following involves the activities and organizational processes adopted by businesses to meet their social responsibilities?

Accepted Answer

Corporate citizenship involves the activities and organizational processes adopted by businesses to meet their social responsibilities.

Question 20

A company committed to corporate citizenship might be engaged in

Accepted Answer

One of the major corporate citizenship issues is the focus on preserving the environment. The majority of people agree that climate change is a global emergency, but there is no agreement on how to solve the problem. Another example of a corporate citizenship issue might be animal rights-an issue that is important to many stakeholders.

Quiz 2: Business Ethics and Social Responsibility