Which companies unethical practices will tend to incur mainly internal administrative costs?
A) Company U must retrain its employees who are working in a toxic culture due to widespread reports of sexual harassment.
B) Company V's tax evasion practices are revealed, leading to a dramatic drop in its stock price and simultaneously rising costs of debt.
C) Company W incurs penalties of $1.0 billion for auto and mortgage loan abuses.
D) Company X pays its male employees higher wages than female employees even though it has been propagating messages of workplace equality and fair play.
E) Company Y experiences massive customer defections when it is made public that it is engaging in price gouging, or selling low cost products at high prices.
Correct Answer:
Verified
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