Question 1

Ethical standards are not proven to affect a company's stock prices.

Accepted Answer

The answer of Ethical standards are not proven to affect...

Question 2

Helping employees stop smoking is an example of a social responsibility revolving around public health.

Accepted Answer

Helping employees stop smoking is a socially responsible action that promotes public health and well-being.

Question 3

Paying corporate taxes is an example of corporate philanthropy.

Accepted Answer

Paying corporate taxes is a legal obligation and requirement, not a voluntary act of corporate philanthropy.

Question 4

Investors are generally unconcerned with whether a company is behaving ethically;instead,they only focus on whether or not it is making a profit.

Accepted Answer

This statement is not entirely true. While investors do care about a company's profitability, they also increasingly consider ethical behavior as a factor in their investment decisions. This is because unethical behavior can lead to legal and reputational risks that can harm a company's performance in the long run. Additionally, some investors have ethical considerations that guide their choices and they may avoid investing in companies with a poor ethical track record.

Question 5

Hewlett-Packard's use of new and recycled plastics in the manufacture of its scanners is an example of acting responsibly to satisfy societal demands.

Accepted Answer

Hewlett-Packard's use of new and recycled plastics in their scanners demonstrates a commitment to sustainable production practices and meeting societal demands for more environmentally friendly products.

Question 6

Starbucks' efforts to go green with recyclable cups is an example of social responsibility.

Accepted Answer

Starbucks' efforts to go green with recyclable cups show their concern for the environment and their responsibility as a corporation towards sustainability. This is an example of social responsibility in today's business world.

Question 7

The principal federal agency responsible for protecting investors from financial misdeeds is the Federal Trade Commission.

Accepted Answer

The principal federal agency responsible for protecting investors from financial misdeeds is the Securities and Exchange Commission (SEC), not the Federal Trade Commission.

Question 8

Environmental issues are more of a social concern for government organizations.

Accepted Answer

The answer of Environmental issues are more of a social...

Question 9

Consumerism is the public demand that a business consider the wants and needs of its customers in making decisions

Accepted Answer

Consumerism is all about satisfying the wants and needs of customers, so it is true that businesses should consider these factors in making decisions.

Question 10

The U.S.Sentencing Commission was created to protect employees who claim that they were unaware of ethical violations that they were accused of committing.

Accepted Answer

The U.S. Sentencing Commission was created to establish and maintain consistent sentencing guidelines for federal offenses, not to protect employees from allegations of ethical violations.

Question 11

Under the Security and Exchange Commission (SEC),publicly traded companies are required to announce major information to the general public,rather than first disclosing the information to selected major investors.

Accepted Answer

This is known as fair disclosure or Regulation Fair Disclosure (Reg FD), which was implemented by the SEC in 2000 to prevent selective disclosure of important information to favored investors.

Question 12

Corporate philanthropy is the belief that businesses should put the needs of society over the needs of managers and employees.

Accepted Answer

Corporate philanthropy is the belief that businesses should engage in charitable donations or activities to benefit society, but it does not require businesses to prioritize society over their stakeholders such as managers and employees.

Quiz 2: Business Ethics and Social Responsibility