IRAT/TRAT #3

Which of the following is a similarity between ethics and social responsibility? a. Both play a vital role in building profitable businesses and a vibrant community. b. Both are mandated by law and are codified in the legal system. c. Both rarely influence the decisions of individual employees in a workplace. d. Both refer to abstract philosophies about right and wrong on an individual level.

Both play a vital role in building profitable businesses and a vibrant community.

Which of the following is a disadvantage of general partnerships? a. Unlimited liability b. Complex formation procedures c. Close monitoring by the Internal Revenue Service d. Double taxation

a. Unlimited liability

In the context of nonverbal communication involving a listener and a speaker, active listening occurs when: a. the listener focuses his or her complete attention on the speaker. b. there are no cues from the speaker for the listener to discern. c. there is a heated exchange between the listener and the speaker. d. the listener believes that he or she already knows what the speaker is trying to say.

a.. the listener focuses his or her complete attention on the speaker

Check My Work Which of the following is a drawback of franchising? a. Lack of brand-name recognition b. Restrictions on sale c. Lack of access to funding d. High level of risk

b. Restrictions on sale

In the context of creating and delivering successful verbal presentations, which of the following is a key benefit of using Google Presentations? a. The user's work is not lost even if Google disables his or her account. b. It can be accessed from any device with a web connection. c. It can be accessed even if internet connectivity is lost temporarily. d. The user's information is kept safe from hackers.

b. it can be accessed from any device with a web connection

Companies that step in with on-site day care programs for workers facing challenges such as raising kids are fulfilling their: a. legal roles. b. social responsibility. c. consumerism duties. d. stakeholder criterion.

b. social responsibility

A speaker experiencing nervousness before a presentation must: a. avoid taking short pauses. b. visualize success. c. avoid imagining speaking to friendly faces in the audience. d. read out the presentation verbatim.

b. visualize success

In the context of picking the right words when communicating with your audience, which of the following should be practiced to make communication more effective? a. Staying away from analyzing your audience b. Being as elaborate as possible c. Avoiding bias d. Avoiding speaking in active voice

c. avoiding bias

_____ refers to the amount of harmful greenhouse gases that a firm emits throughout its operations, both directly and indirectly. a. Environmental cycle b. Bioremediation c. Carbon footprint d. Ecolabeling

c. carbon footprint

Gerrilyn works for a business firm that manufactures breakfast cereal. The firm is owned by many individuals who are not personally responsible for any debts or losses incurred by it. Legally, the firm is considered a separate artificial person. In this scenario, Gerrilyn is working for a _____. a. proprietorship b. regulatory body c. corporation d. partnered company

c. corporation

In the context of franchising, a Franchise Disclosure Document (FDD): a. is sent to a franchisee when the franchisee fails to adhere to the production standards specified by the franchisor. b. contains details about the annual profits made by the franchisee. c. must be provided to the franchisee at least 14 calendar days before the franchise agreement is signed. d. restricts potential franchisees to contact other franchisees under the same franchisor.

c. must be provided to the franchisee at least 14 calendar days before the franchise agreement is signed.

The goal of nonverbal communication should be to: a. encourage interpretation and guesswork. b. indicate defensiveness. c. reinforce the meaning of a message. d. discourage active listening.

c. reinforce the meaning of a message

In the context of code of ethics, the best-known code is the Johnson & Johnson Credo, which has guided the company profitably through a number of crises. One of the striking elements of the credo is: a. that it commits to a centralized organizational structure. b. the firm focus on collusion. c. that it commits to a fair return for stockholders. d. the firm focus on ethnocentrism.

c. that it commits to a fair return for stockholders

Silva and Ron start a taxi service together. Ron only invests money in the venture and does not actively participate in managing the business. Silva, on the other hand, manages the venture entirely. According to the agreement between Silva and Ron, Silva is personally responsible for the debts and losses while Ron takes responsibility of the debts only up to a certain amount. The agreement also mentions that Ron cannot participate in the management of the business. In this scenario, Ron and Silva have formed a _____. a. sole proprietorship b. corporation c. general union d. limited partnership

d. limited partnership

Universal ethical standards are ethical norms: a. established for the senior citizens of every nation. b. that have been laid down by the United Nations. c. set up for employees by individual organizations depending on their office culture. d. that apply to all people across a broad spectrum of situations. Hide Feedback

d. that apply to all people across a broad spectrum of situations

In the context of the various communication channels, which of the following statements is true of a telephone conversation? a. It is used when there is a need for spontaneous dialogue with the recipient. b. It exhibits very high channel richness and transmits ample nonverbal cues. c. It is used when a sender wishes to see the facial expressions of the recipient. d. It has extremely low channel richness when conveying non-personal and formal content.

a. It is used when there is a need for spontaneous dialogue with the recipient.

Which of the following communication channels has the highest channel richness? a. A face-to-face meeting b. A telephone conversation c. Texting d. An email

a. a face-to-face meeting

In the context of writing high-impact messages, which of the following is appropriate for a business message? a. A message that reads like a natural conversation b. A message that uses ample technical jargon c. A message that minimizes the use of personal pronouns d. A message that contains sentences written in passive voice

a. a message that reads like a natural conversation

In the context of communication channels, which of the following is a difference between an in-person presentation and a face-to-face meeting? a. An in-person presentation is used when the need is to reach a large audience with an important message, whereas a face-to-face meeting is used when a message is personal, emotional, complex, or high-priority. b. In in-person presentations, you can expect to receive feedback from the audience, whereas in face-to-face meetings, the audience's feedback is delayed indefinitely. c. In an in-person presentation, the audience learns nothing beyond your words themselves, whereas in a face-to-face meeting, the audience has the benefit of hearing your tone and observing how it changes during a conversation. d. An in-person presentation has very high channel richness, whereas a face-to-face meeting has very low channel richness.

a. an in-person presentation is used when the need is to reach a large audience with an important message, whereas a face-to-face melting is used when a message is personal, emotional, complex, or high-priority

Great communication skills are most likely to: a. boost your chance for success. b. indicate defensiveness. c. indicate arbitrariness. d. alienate your audience.

a. boost your chance for success

In the context of corporations, the _____ and other corporate officers manage the company on a daily basis. a. chief executive officer b. stockholders c. board of directors d. profit-making investors

a. chief executive officer

Rubina is the director of procurement at Baines Corporation. She plans to send a memo to the employees in her department outlining some changes in the company's personnel policies. She believes that most of the employees will view the changes favorably. Therefore, Rubina is most likely to: a. describe the bottom line of the policy changes at the beginning of the memo. b. include an apology at the end of the memo stating the inconveniences that could be caused due to the new policy. c. present the rationale for the new policies at the memo's beginning. d. highlight controversial issues, which could arise after the new policies have been implemented, in the memo.

a. describe the bottom line of the policy changes at the beginning of the memo

Which of the following communication channels has the lowest channel richness? a. Email b. Face-to-face meeting c. Videoconferencing d. In-person presentation

a. email

In the context of the various forms of operating a business, instant brand-name recognition is a benefit ensured by a: a. franchise. b. sole proprietorship. c. limited liability company. d. C corporation.

a. franchise.

Daynon Inc. buys Leeston Corp., a firm that makes shipbuilding components, despite the opposition from Leeston's board of directors and its top management. This acquisition exemplifies a _____. a. hostile takeover b. lobster trap c. compulsive blend d. bootstrap fusion

a. hostile takeover

Which of the following statements is true of corporate responsibility? a. It focuses on contributions made to the community through the efforts of a business. b. It is designed to spike sales for the company and raise money for a nonprofit. c. It ensures that the code of ethics of an organization is both global and local in scope. d. It refers to the need for commitments from an organization's senior management.

a. it focuses on contributions made to the community through the efforts of a business

In the context of creating and delivering successful verbal presentations, which of the following statements is true of dynamic delivery? a. It is characterized by the use of natural gestures. b. It relies exclusively on captivating verbal content. c. It cannot be achieved through deliberate practice. d. It requires word for word memorization of the material.

a. it is characterized by the use of natural gestures

A key advantage of a C corporation is: a. its ability to raise large amounts of financial capital. b. minimal paperwork. c. its ability to avoid double taxation. d. the ease with which it can be formed and operated.

a. it's ability to raise large amounts of financial capital

Oponium, a laptop manufacturer, offers a variety of gaming laptops at discounted prices. However, the laptops have been designed in such a way that they have performance issues after being used for six months, thereby generating revenue for the company through service charges. In this scenario, Oponium's business conduct is: a. legal but unethical. b. legal and ethical. c. illegal but ethical. d. illegal and unethical.

a. legal but unethical.

Which of the following steps should an organization follow to bring its code of ethics to life? a. Protection should be established for people who report illegal or unethical behavior. b. The code of ethics should be limited to being local in scope and need not address global issues. c. Employees should be allowed to choose the kind of moral principles that they wish to follow. d. The code of ethics should not apply to outside parties such as suppliers, distributors, and customers of the organization.

a. protection should be established for people who report illegal or unethical behavior

Lara is giving her first presentation at a seminar on corporate social responsibility. Although she is nervous, she wants to try her best to grab the audience's attention. To achieve this, when opening the presentation, Lara should start with: a. the bottom line immediately. b. a compelling story. c. a summarized form of her presentation. d. a heavily animated slide.

b. a compelling story

In the context of communication barriers, which of the following scenarios demonstrates the existence of a language barrier? a. Participants at a meeting maintaining sustained eye contact with the speaker b. A finance manager using financial terms while addressing listeners belonging to an editorial department c. A speaker at a meeting asking for the audience's feedback at regular intervals d. Conference participants sitting in such a manner that they can directly face the speaker

b. a finance manager using financial terms while addressing listeners belonging to an editorial department

In the context of writing high-impact business messages, using which of the following in your message will guide your reader most easily through your writing? a. Flowcharts b. Bulleted lists c. Narrative paragraphs d. Footnotes

b. bulleted lists

When closing a presentation, presenters should: a. tell the audience a new key point about the subject of the presentation. b. circle back to their introduction. c. ask engaging questions. d. give specific examples and vivid comparisons.

b. circle back to their introduction

Which of the following is an advantage of sole proprietorships? a. Limited workload and reduced responsibilities b. Ease of formation c. Permanence of the venture d. Maximized ability to attract talented employees

b. ease of formation

Irina, Ron, and Benz want to start the business of designing the interiors of offices. All of them want to actively manage the company and do not want to be personally responsible for the debts and obligations of the company. Moreover, they do not want to hold regular board meetings. The three are most likely to form a _____. a. nonprofit corporation b. limited liability company c. general partnership d. sole proprietorship

b. limited liability company

In the context of ethical choices, which of the following is a strong predictor of ethical leadership? a. Lobbying b. Personal empathy c. Ethnocentrism d. Collusive bidding

b. personal empathy

Aquin, a cell phone manufacturer, has released a new model of smartphones. The smartphones have been designed in such a way that they offer excellent performance in the first few months, but develop technical issues after a certain period. Thus, the customers are bound to repurchase a new phone within a short period. In this scenario, Aquin's strategy is an example of _____. a. modular function deployment b. planned obsolescence c. crash simulation d. whistle-blowing

b. planned obsolescence

According to the universal ethical standards identified by the nonprofit, nonpartisan Character Counts organization, being self-controlled and self-disciplined and being accountable for your choices represent the core value of _____. a. trustworthiness b. responsibility c. respect d. fairness

b. responsibility

Shayla is performing a social audit of her company. She needs to evaluate how well the firm is meeting its ethics and social responsibility objectives. To do this, she first establishes the goals that the company should strive to meet. Which of the following is most likely to be the subsequent step performed by Shayla? a. She would do a research on how competitors are working toward the achievement of social responsibilities. b. She would determine how to measure the achievement of the established goals. c. She would evaluate future goals and seek funding to achieve them. d. She would quantify the involvement of the firm in community activities.

b. she would determine how to measure the achievement

Humor in a business presentation: a. is essential for the audience to warm up to the presentation. b. should be double-checked for appropriateness before usage. c. gives the speaker extra time to recollect any missed points. d. is best done at the expense of a member of the audience.

b. should be double checked for appropriateness before usage

According to _____, customers can freely purchase the products that meet their needs. a. the right to be heard b. the right to choose c. the right to be safe d. the right to be informed

b. the right to choose

Which of the following statements is true of communication channels? a. They are considered to have high channel richness when people send text messages with as few words as possible. b. They differ from one another in terms of how much information they communicate to the recipient. c. They refer to obstacles during communication that distract the audience, preventing them from absorbing the content of the message. d. Email and voice mail are examples of communication channels that have high channel richness.

b. they differ from one another in terms of how much information they communicate to the recipient

MalChop Inc., an air transport service company, announced that its new project would be delayed due to technical problems at various critical points of the project. Daren, the project manager, plans to send a detailed memo to all the members working on the project outlining how to correct each technical issue. In this scenario, Daren can ensure the effective communication of the memo's key points by: a. using at least two pages to convey the message. b. using headings. c. avoiding the usage of block paragraphs. d. avoiding the use of bulleted lists.

b. using headings

Which of the following statements best describes a C corporation? a. It is a form of corporation that avoids double taxation by having its income taxed as a partnership. b. It is a form of business ownership in which two or more members act as co-owners and have unlimited liability. c. It is a legal business entity that offers limited liability to all of its owners, who are called stockholders. d. It is a form of business ownership in which the firm is considered by law merely as an extension of its owner.

c. It is a legal business entity that offers limited liability to all of its owners, who are called stockholders.

Which of the following statements is true of the Sarbanes-Oxley Act? a. It ensures the application of right and wrong as well as good and bad in a business setting. b. It requires senior managers to contribute a percentage of their income for social responsibility. c. It requires that financial officers personally certify the validity of their financial statements. d. It ensures that a code of ethics is applied both globally and locally in organizations.

c. It requires that financial officers personally certify the validity of their financial statements.

In the context of corporate restructuring, which of the following is a common objective of a vertical merger? a. Reducing risk by making a firm less vulnerable to adverse conditions in any single market b. Increasing size and reducing competition within an industry c. Providing tighter integration of production and increased control over the supply of crucial inputs d. Improving efficiency by eliminating duplication of facilities and personnel

c. Providing tighter integration of production and increased control over the supply of crucial inputs

In the context of corporate restructuring, which of the following is a common objective of a conglomerate merger? a. Increasing size and reducing competition within an industry b. Providing tighter integration of production and increased control over the supply of crucial inputs c. Reducing risk by making a firm less vulnerable to adverse conditions in any single market d. Improving efficiency by eliminating duplication of facilities and personnel

c. Reducing risk by making a firm less vulnerable to adverse conditions in any single market

In the context of carbon footprint, employee commutes, supplier emissions, and product-use emissions are categorized under _____. a. Scope 1 emissions b. Scope 2 emissions c. Scope 3 emissions d. Scope 4 emissions

c. Scope 3 emissions

Marianne, who is attending a seminar, is attentively listening to all the speakers. However, she is distracted by one particular speaker's exaggerated gestures. Which of the following forms of communication barriers is Marianne experiencing in this scenario? a. A perceptual barrier b. An organizational barrier c. A body language barrier d. A physical barrier

c. a body language barrier

In the context of socially responsible companies, codes of conduct work best with _____. a. the absence of monitoring and enforcement b. rigorous compliance of rules even when faced with ethical dilemmas c. a commitment to finding solutions that work for all parties involved d. a resolve to maximize financial benefits for the business

c. a commitment to finding solutions that work for all parties involved

The board of directors of a tile manufacturing company meet to discuss the installment of a new high-end machinery. They all agree that installing the machinery in the workplace could result in a lot of employees being laid off because of the reduced need for manual labor. At the same time, canceling the order placed for the machinery could cause legal issues as the company has already signed a contract with its suppliers. The board of directors thus weigh both the options to see which would cause them less inconvenience. In this scenario, the board of directors face a(n) _____. a. illegal impasse b. planned obsolescence c. ethical dilemma d. moral lapse

c. ethical dilemma

_____ refers to developing and promoting environmentally sound products and practices to gain a competitive edge. a. Crowdsourcing b. Bioremediation c. Green marketing d. 360 degree branding

c. green marketing

Which of the following statements is true of sole proprietorships? a. Firms are treated as a separate legal entity. b. Owner of the firm is able to enjoy limited liability. c. Owner receives the entire share of the firms' profits. d. Firms are not affected by the withdrawal of the owner.

c. owner receives the entire share of the firms' profits

Deborah is an executive at Aviroend Inc. Her boss has assigned her the task of reviewing the firm's ethics and social responsibility objectives. To prepare a report, she gathers data from various sources, internal as well as external, and uses software tools to create graphs and charts that capture how socially responsible Aviroend has been since the establishment of its ethics and social responsibility goals. In this scenario, Deborah is performing a(n) _____ of Aviroend. a. socio-commercial analysis b. quality check c. social audit d. ethical review

c. social audit

Thiago has spent a long time working in various commercial establishments owned by some of his close relatives. He now wishes to establish his own business, a sporting goods retail store. Thiago plans to manage the store single-handedly. In the context of the various business ownership options, Thiago's store will be an example of a: a. conglomerate. b. statutory close corporation. c. sole proprietorship. d. limited liability company.

c. sole proprietorship

Which of the following is a disadvantage of sole proprietorship? a. The formation of the company requires investing a large sum of money. b. The owner cannot have complete control over the management of the company. c. The company legally ceases to exist if the owner withdraws. d. The profit gets shared equally among all employees.

c. the company legally ceases to exist if the owner withdraws

The official company policy of NathWorthone Inc., a weapon manufacturing company, discourages interaction between supervisors and subordinates. Which of the following communication barriers is exemplified by NathWorthone's policy in this scenario? a. The perceptual barrier b. The physical barrier c. The organizational barrier d. The body language barrier

c. the organizational barrier

Socially responsible companies make it easy for consumers to express legitimate complaints and develop highly trained customer service people to respond to the complaints. This ensures customers _____. a. the right to be informed b. the right to be safe c. the right to be heard d. the right to choose

c. the right to be heard

To establish agreement in your sentences without creating gender bias during business communication, it is advisable to convert sentences to _____. a. their singular form b. passive voice c. their plural form d. active voice

c. their plural form

Which of the following statements best describes an S corporation? a. It is a form of corporation where the number of stockholders is unlimited. b. It is a form of corporation that can be formed without filing any paperwork with a government agency. c. It is a form of corporation that does not seek to earn a profit and differs in several fundamental aspects from C corporations. d. It is a form of corporation that avoids double taxation by having its income taxed as if it were a partnership.

d. It is a form of corporation that avoids double taxation by having its income taxed as if it were a partnership.

In the context of formation, which of the following is a similarity between limited liability companies (LLCs) and corporations? a. Like corporations, LLCs are not required to file a certificate of formation. b. Similar to corporations, LLCs do not have to pay filing fees in the state where the business is organized. c. Like in corporations, owners of most LLCs are called stockholders. d. Similar to the bylaws of a corporation, organizers of most LLCs draft an operating agreement.

d. Similar to the bylaws of a corporation, organizers of most LLCs draft an operating agreement.

In the context of C corporations, which of the following is a difference between preferred stockholders and common stockholders? a. Unlike preferred stockholders, common stockholders are entitled to evade taxation on their income. b. Unlike preferred stockholders, common stockholders can opt out of the corporation without prior notice. c. Unlike preferred stockholders, common stockholders have the right to float shares of the company. d. Unlike preferred stockholders, common stockholders normally have the right to vote in stockholder meetings.

d. Unlike preferred stockholders, common stockholders normally have the right to vote in stockholder meetings.

In the context of social responsibility, stakeholders refer to: a. officials who review company records to identify the accrued revenue of an organization. b. employees who report their employer's illegal activities to the media or higher official authorities. c. workers of all ages who continue to seek undue advantages from their employers. d. any groups that have a personal interest in the performance and actions of an organization.

d. any groups that have a personal interest in the performance and actions of an organization

Unlike corporations, limited liability companies (LLCs): a. cannot include owners who are foreign investors. b. are required to hold regular board meetings. c. have more reporting requirements. d. are subject to less paperwork.

d. are subject to less paperwork.

Which of the following statements is a similarity between general partnerships and sole proprietorships? a. Both are formed by filing articles of incorporation. b. Both allow owners to enjoy limited liability. c. Both are considered legal entities separate from their owners. d. Both allow owners to avoid double taxation.

d. both allow owners to avoid double taxation

Comfy Trend Inc., a clothing in the United States, licenses a garment manufacturing firm in Tokyo to operate under its name and trademark. The firm also buys the rights to use Comfy Trend Inc.'s production and business methods. This scenario is an example of a _____. a. divestiture b. distributorship c. conglomerate merger d. business format franchise

d. business format franchise

_____ refers to marketing partnerships between businesses and nonprofit organizations, designed to spike sales for the company and raise money for the nonprofit. a. Double loop marketing b. Niche marketing c. 360-degree marketing d. Cause-related marketing

d. cause-related marketing

According to the universal ethical standards identified by the nonprofit, nonpartisan Character Counts organization, which of the following illustrates the core value of citizenship? a. Being honest, not deceiving, and doing what you say you'll do b. Being self-controlled, self-disciplined, and persevering c. Tolerating cultural differences and being considerate about them d. Contributing to the community and protecting the environment

d. contributing to the community and protecting the environment

Max and Lucio start a retail store. They take turns to manage the store, and they share the profits equally. Max and Lucio understand that they are personally liable for any debts or losses that the store may incur in the future. This type of business venture exemplifies a _____. a. corporation b. limited liability company c. sole proprietorship d. general partnership

d. general partnership

In the context of business communication, which of the following statements is true of active voice usage in sentences? a. Only transitive verbs are used in active voice. b. The object performs the action expressed by the verb in active voice. c. Only intransitive verbs are used in active voice. d. The subject performs the action expressed by the verb in active voice.

d. the subject performs the action expressed by the verb in active voice

Gladys, a doctor at Talthron Hospital, notices that one of the trustees of the hospital is falsifying the data of Medicare patients when submitting reports to the government. She reports this misconduct to the media. In this scenario, Gladys can be considered a _____. a. grandstander b. social auditor c. corporate philanthropist d. whistle-blower

d. whistle-blower