Question 1

_____ theory emphasizes that one should use the categorical imperative and judge an action by applying it universally.

Accepted Answer

The theory that emphasizes the use of the categorical imperative and universal application to judge the morality of an action is the Kantian theory. Thus, the correct answer is D. Choices A, B, and C do not emphasize the use of the categorical imperative and universal application in moral judgment.

Question 2

Which of the following is a prescribed guideline for ethical decision making?

Accepted Answer

A decision maker who wishes to act ethically would look at all the alternatives possible in a creative manner.The solution is not simply to do or not do something;there are many solutions that are possible between the two extremes.

Question 3

Kurt is trying to decide whether or not he should drive to work everyday and has a number of questions. Will it save valuable time? Will he be adding to environment pollution? Will it add to the problems of heavy traffic on the roads? Would carpooling be a better idea? Which of the following ethical theories does Kurt adhere to?

Accepted Answer

Kurt is weighing the consequences and outcomes of his decision, which is a key feature of utilitarian ethics. He is considering the possible time savings and the impact on the environment and traffic on the roads, suggesting a focus on maximizing overall good.

Question 4

Which of the following ethical theories requires decision makers to maximize utility for the society as a whole?

Accepted Answer

Utilitarian theory requires decision makers to maximize utility for the society as a whole, which means making decisions that result in the greatest overall benefit or happiness for the greatest number of people. Profit maximization theory focuses solely on maximizing profits, while deontological theory and rights theory focus on fulfilling duties, principles, or respecting individual rights, rather than looking at overall consequences.

Question 5

______ requires a decision maker to ensure the maximum good for the maximum number.

Accepted Answer

Utilitarianism is a normative ethical theory that advocates for actions that produce the greatest amount of good for the greatest number of people. Thus, it requires a decision maker to ensure the maximum good for the maximum number. Profit maximization and stakeholder theory prioritize different interests, while rights theory focuses on the protection of individual rights rather than overall consequences.

Question 6

_____ protects the rights of those who are less privileged in society.

Accepted Answer

Justice theory seeks to protect the rights of those who are less privileged in society through ensuring fairness and equality in distribution of resources and opportunities.

Question 7

_____ categorizes using or manipulating others as an unethical action.

Accepted Answer

Kantianism places emphasis on moral rules and duty, and views using or manipulating others as treating them as mere means to an end, which is unethical. Utilitarianism, teleological ethics, and consequentialism focus on the outcomes or consequences of actions, rather than on inherent morality, so they may not explicitly classify using or manipulating others as unethical.

Question 8

_____ ethical theories focus on the consequences of a decision.

Accepted Answer

Teleological ethical theories focus on the consequences or outcomes of a decision or action. They weigh the benefits and harms of a decision and determine what is morally right based on the overall outcome. Deontological ethics, on the other hand, focus on the inherent rightness or wrongness of an action, regardless of its consequences. Kantian ethics are a form of deontological ethics based on the principles of duty and morality. "Right" is not a specific ethical theory.

Question 9

Which of the following ethical theories illustrates that acting in one's selfish interests can ultimately result in ethical behavior and benefits to society?

Accepted Answer

The profit maximization theory emphasizes that businesses acting in their own self-interest (i.e. maximizing profits) can ultimately result in benefits to society, as they will provide goods and services that meet consumer needs and wants, create job opportunities, and contribute to economic growth. This means that pursuing profit can be ethical behavior as long as it is done within the limits of the law and with consideration for stakeholders such as employees, customers, and suppliers.

Question 10

Which of the following ethical theories is a deontological theory?

Accepted Answer

Rights theory is a deontological theory, which holds that actions are inherently right or wrong, regardless of their consequences. This means that certain rights must be upheld and respected, regardless of any potential benefits or harms that may result from doing so. Utilitarian and teleological theories, on the other hand, are consequentialist, meaning that they focus on the outcomes or consequences of actions. Profit maximization theory is not an ethical theory but rather an economic theory.

Question 11

Which of the following ethical theories emphasizes that certain human rights are fundamental and must be respected by other humans?

Accepted Answer

Rights theory emphasizes that certain human rights, such as the right to life, liberty, and privacy, are fundamental and must be respected by other humans. Utilitarian theory focuses on maximizing overall happiness, while teleological theory emphasizes the ends or consequences of actions. Profit maximization theory is not an ethical theory but rather a business objective.

Question 12

Which of the following factors can impose direct penalties for corporate misbehavior?

Accepted Answer

Market forces such as public backlash, loss of customer trust and decreased sales can impose direct penalties for corporate misbehavior. Corporate management, labor unions and investors may indirectly punish misbehavior through various means such as reducing bonuses, filing lawsuits or divesting stocks, but they may not have a direct impact on the company's bottom line like market forces can.

Question 13

Which of the following ethical theories judges our actions as good or bad depending on their consequences and is expressed as "the ends justify the means"?

Accepted Answer

Utilitarianism judges actions based on their consequences and seeks to promote the greatest amount of good or pleasure for the greatest number of people, even if it requires sacrificing the happiness of some individuals. This is often expressed as the principle that "the ends justify the means." Rights theory, Kantianism, and deontological theory all prioritize duties, rights, or principles over consequences.

Question 14

Which of the following ethical theories has been criticized for promoting moral fanaticism and reducing innovation, entrepreneurship, and production?

Accepted Answer

Critics of Rights theory contend that it promotes moral fanaticism and creates a sense of entitlement,thus,reducing innovation,entrepreneurship,and production.

Question 15

Which of the following ethical theories is closely related to the profit maximization theory?

Accepted Answer

The profit maximization theory seeks to maximize the overall welfare of the stakeholders, which is similar to the utilitarian idea of maximizing overall happiness or utility. Both theories prioritize the overall benefit to society and do not focus on individual rights or duties.

Question 16

The _____ requires a public company to disclose whether it has adopted a code of ethics for senior financial officers, and to disclose any change in the code or waiver of the code's application.

Accepted Answer

The requirement mentioned in the question is a provision of the Sarbanes-Oxley Act of 2002, which was enacted in response to corporate scandals such as Enron and WorldCom. Section 406 of the act mandates that public companies disclose whether they have adopted a code of ethics for senior financial officers, and any changes or waivers to the code's application. The Davis-Bacon Act pertains to federal contracts for construction projects, the Goldwater-Nichols Act restructured the organization of the Department of Defense, and the Certiorari Act is a procedural law related to appeals to the Supreme Court.

Question 17

Profit maximization results in ethical conduct because:

Accepted Answer

Profit maximization requires companies to act within the constraints of the law, which includes ethical considerations. Therefore, it can result in ethical conduct. However, it does not necessarily emphasize the redistribution of wealth, protect fundamental rights, or focus on the decision or action itself.

Question 18

Which ethical theory justifies the protection of a neo-Nazi's right to hateful speech, even though the cost of such speech includes damage to relations between ethnic groups, which may far outweigh any benefits the society receives from the speech?

Accepted Answer

According to rights theory, individuals have certain inherent rights that cannot be violated, including the right to freedom of expression. This means that even if the speech is hateful and damaging, a neo-Nazi still has the right to express their beliefs without fear of censorship or punishment. The potential harm caused by the speech must be weighed against the harm of denying someone their right to free speech. In this case, the right to free speech outweighs the potential harm caused by the speech.

Question 19

_____ is a teleological ethical theory because it focuses on results by maximizing total social welfare.

Accepted Answer

The teleological ethical theory is focused on the consequences or results of one's actions. Profit maximization theory falls under this category as it focuses on maximizing total social welfare through financial profit. Rights theory and Kantian theory are both deontological ethical theories that are more concerned with duty and moral rules rather than the outcome of actions.

Question 20

Which of the following is a characteristic of profit maximization?

Accepted Answer

Profit maximization is closely related to utilitarianism because it focuses on results, specifically maximizing profits for the company. The other options listed are not characteristics of profit maximization.

Quiz 4: Business Ethics, Corporate Social Responsibility, Corporate Governance, and Critical Thinking