Ethics Chapter 2 -connect
_________ believes the ethical decision-making process has an underlying structure based on nine steps. A. Rest B. Johnson C. Velasquez D. Kohlberg E. Kidder
E.
An individual's ethical understanding of what should be done to resolve an ethical dilemma is called ________________. A. prescriptive reasoning B. ethical judgment C. moral sensitivity D. moral development
A.
Kohlberg asserted that development in moral __________ enables a person to become truly a moral person, both in thought and action. A. reasoning B. ideas C. bias
A.
Moral motivation reflects an individual's willingness to place ethical values ahead of nonethical values. A. true B. false
A.
Respondents to the Deloitte Survey entitled "Global Human Capital Trends" believe that diversity creates a competitive advantage. A. true B. false
A.
Rest believes that ethical actions result from ______. A. cognitive structures and psychological processes B. a single, unitary decision process C. external actions D. Kohlberg's model
A.
Rest's model is built on Kohlberg's work and is based upon behavior related to one's level of moral _____________. A. development B. character C. integrity
A.
Select all of the following steps Uber pledged to take as a result of Susan Fowler's sexual harassment claims and the Covington report. 1. Train personnel to combat implicit bias 2. Create an Ethics and Culture Committee 3. Mitigate bias in performance reports 4. Provide an effective complaint process A. 1, 2, 4 B. 2, 3A. 1, 2, 4 B. 2, 3, 4 C. 1, 3, 4 D. 1, 2, 3, 4 C. 1, 3, 4 D. 1, 2, 3
A.
The Giving Voice to Values technique is used after the decision has been made. A. True B. False
A.
The approach that focuses on individuals effectively expressing their beliefs in a way that positively influences others is known as what? A. Giving Voice to Values B. Integrated Ethical Decision Making C. Virtue Based Decision Making D. Cognitive Development
A.
The field of behavioral ethics deals with how our minds process information and make decisions. A. true B. false
A.
The giving voice to values technique 1. Addresses the pathway an individual can use to express their beliefs 2. Is used after an individual has decided what to do in an ethical situation 3. uses traditional philosophical reasoning 4. Is used before an individual has decided what to do in an ethical situation A. 1, 2, 3 B. 2, 4, 5 C. 1, 3, 4 D. 2, 3, 4
A.
The most common social and organizational pressures that can cause well-intentioned people to make poor ethical choices are ______. 1. obedience to authority 2. considering multiple stakeholders 3. conforming to ethical judgments of peers A. 1 & 3 B. 2 & 4 C. 2 & 3 D. 1 & 4
A.
What is the objective of applying moral judgment? A. To select the morally justifiable course of action B. Prescriptive reasoning C. To act consistently with one's level of moral development D. To recognize a situation as moral
A.
Which bias describes when an an auditor may yield to pressures of the majority even though their views are incorrect? A. Group think B. Hindsight bias C. Overconfidence bias
A.
Which concept describes an equal opportunity that fits an individual's personal circumstances? A. equity B. equality C. inclusion D. diversity
A.
_____ _____ describes the common failure of people to notice others' unethical behavior when seeing that behavior would harm the observer. A. Moral blindness B. bystander effect C. group think
A.
In stage 5 of Kohlberg's model, a person is influenced by ______. (Check all that apply) A. the legal contract of society B. rights and values of society C. acting in the best interests of others D. evaluating harms and benefits of actions E. universal ethical principles
Answers: A, B, D
Which of the following has been shown to influence the moral development of a manager? (Check all that apply) A. Corporate culture B. Education C. Established decision priorities D. Ethical training E. Fear of losing one's job
Answers: A, B, D
The underlying features of cognitive development include ______. (Check all that apply) A. becoming more complex and sophisticated with development B. developing from childhood to adulthood C. a hierarchical series only D. a thought process E. being set in childhood F. an ability to make reasoned judgments
Answers: A, B, D, F
Heinz dealt with the dilemma by ______. (Check all that apply) A. asking the druggist to sell the drug for less B. asking the druggist if he could pay for the drug over time C. raising all the money from family and friends D. giving up on trying to obtain the drug E. stealing the drug for his wife
Answers: A, B, E
In stage 3 of Kohlberg's model, a person is influenced by ______. (Check all that apply) A. respect for authority B. law and order C. doing what is in the best interests of others D. loyalty in relationships E. duty to the social order
Answers: C, D
In stage 4 of Kohlberg's model, a person's behavior is influenced by ______. (Check all that apply) A. fear of punishment B. fairness to others C. duty to the social order D. pursuit of self-interest E. law and order A. 1 & 3 B. 1 & 2 C. 2 & 3
Answers: C, E
An accountant has a(n) ________ _________ to act in accordance with the public interest. A. moral requirement B. social contract C. ethical code
B.
In stage 1 of Kohlberg's model, a person is not influenced by ______. A. obedience to rules B. fear of punishment C. satisfying one's own needs D. fairness to others E. egoism A. 1, 2, 4 B. 3, 4, 5 C. 1, 3, 5 D. 2, 3, 4
B.
Individuals do not always behave in accordance with their ethical intention due to which of the following? 1. Weak ethical character 2. Being a person of integrity 2. Ability to avoid distractions 3. Lack of alignment of intention and actions 4. Lack of a plan to carry out ethical intent with ethical action 5. Inability to withstand pressures A. 1, 3, 5, 6 B. 1, 3, 4, 5 C. 2, 3, 5, 6 D. 1, 4, 5, 6
B.
Kidder believes ______. 1. ethical issues are based on a clear right and wrong decision 2. ethical issues can have unexpected consequences 3. ethical issues can create complex issues 4. ethical issues have an underlying structure related to the decision making process A. 1, 2, 4 B. 2, 3, 4 C. 1, 3, 4 D. 1, 2, 3
B.
Larry Davis anticipating that Paul Jones would say Larry ignored his orders and disrespected his position is which portion of the GVV framework? A. Determining the most powerful response to the reasons and rationalizations one may encounter. B. Determining potential arguments to counter. C. Determine stakes for key parties. D. Determine levers available to influence others.
B.
Select all the reasons why diversity and inclusion are important issues. 1. Global business environment benefits from a diverse workforce. 2. Fair and equal treatment creates an ethical corporate culture. 3. Diverse workforce limits opportunity for employees. A. 1 & 3 B. 1 & 2 C. 2 & 3
B.
Sexual harassment often involves ______. A. quid pro quo B. severe unwelcome behavior C. a friendly work environment A. 1 & 3 B. 1 & 2 C. 2 & 3
B.
What are the shortcomings that contributed to poor moral behavior at Volkswagen during the "Dieselgate" scandal. 1. Quickly notifying the public of carbon dioxide emissions 2. Miscalculating the consequences of not fixing the problem 3. Overconfidence in its ability to absorb losses 4. Underestimating risk A. 1, 2, 4 B. 2, 3, 4 C. 1, 3, 4 D. 1, 2, 3
B.
When an individual has the tendency to not report incidents of wrongdoing because he/she believes others will report it, this is commonly called ______. A. egoism effect B. bystander effect C. deontology
B.
Which bias describes when an individual has the tendency to view events as more predictable than they really are? A. Group think B. Hindsight bias C. Overconfidence bias
B.
Which of the following is not one of the questions in an ethical decision-making model? A. What are the rights of stakeholders? B. How will I best satisfy my own interests? C. Which course of action results in a fair distribution of benefits and burdens? D. What benefits and harms will each course of action produce?
B.
Which social and organizational pressure has lead to poor ethical judgments in financial reporting? A. Loss aversion choosing the most conservative position B. Desire to please authority C. Integrity
B.
_____ ethics looks at the way individuals actually behave in moral circumstances. A. situational B. behavioral C. moral
B.
An auditor who reasons at stage six will emphasize: (Check all that apply). A. The public trust B. Integrity and objectivity C. Retaining the client D. Harms and benefits to others E. Universality
B. Integrity and objectivity E. Universality
In stage 5 of Kohlberg's model, behavior is driven by ______. A. the pursuit of self-interest B. upholding the rights and values of society C. fear of punishment D. universal ethical principles
B. upholding the rights and values of society
Behavioral ethics ______. 1. looks at how situational and social forces influence the actual behavior of individuals 2. requires explaining moral and immoral behavior in systematic ways 3. looks at how individuals believe they should act 4. requires understanding the consequences of actions A. 1, 2, 4 B. 2, 3, 4 C. 1, 3, 4 D. 1, 2, 3
D.
A philosophical approach to decision making considers ______. 1. egoism 2. rights of others 3. justice 4. loyalty to others 5. harms and benefits A. 1, 3, 4 B. 1, 3, 5 C. 2, 3, 4 D. 1, 2, 3
C.
Andersen's moral blindness with respect to Enron was caused by ______. 1. pressure from Enron 2. failure of professional judgment 3. Enron being one of the largest accounts for Andersen 4. high consulting fees 5. professional skepticism A. 1, 2, 5 B. 2, 3, 5 C. 1, 3, 4 D. 1, 2, 5
C.
Compared to System 1 thinking, System 2 is more ______. A. emotional B. automatic C. deliberate D. effortless
C.
Identifying the ethical and professional issues is referred to as what in the Integrated Ethical Decision-Making Process? A. ethical intent B. ethical behavior C. ethical sensitivity D. ethical judgement
C.
In stage 1 of Kohlberg's model, a person's behavior is influenced by ______. A. pursuit of self interest B. avoidance of punishment C. egoism D. obedience to rules A. 1 & 3 B. 1 & 2 C. 2 & 4 D. 1 & 4
C.
Organizational pressures may lead to altering one's beliefs to fit ______. A. moral sensitivity B. cognitive dissonance C. behavior D. moral judgment
C.
Our ability to spot ethical issues is known as moral ____________. A. awareness B. development C. sensitivity
C.
Our views of other people (stereotypes) can cause which of the following negative behaviors? 1. National pride 2. Favoritism 3. Discriminatory hiring A. 1 & 3 B. 1 & 2 C. 2 & 3
C.
Select the possible negative outcomes of simplifying complex issues to make decision making easier. (Select all that apply) 1. Considering long-term consequences 2. Failing to identify stakeholders 3. Underestimating risk A. 1 & 3 B. 1 & 2 C. 2 & 3
C.
The difference between an individual with a strong ethical character and one with a weak ethical character may be summarized as the ______. A. inability to behave in accordance with ethical intention B. inability to withstand pressures and act ethically C. ability to withstand any pressures and act ethically D. ability to cave in to pressures and act unethically
C.
The ethical standards considered in ethical sensitivity include ____________. A. rights B. utilitarianism C. AICPA Code Principles D. moral virtues
C.
The perception that "our way" is normal and that other ways are inferior is commonly called _________. A. egoism B. utilitarianism C. ethnocentrism
C.
The thought process followed in one's moral development is _____ _____. A. character assessment B. moral decision making C. cognitive development
C.
When a staff accountant is aware of financial statement fraud, but does not report it because he/she believes his/her supervisor will correct the situation, this is an example of ______. A. deontological B. utilitarianism effect C. bystander effect
C.
Which bias describes when an auditor may be conservative in his/her risk assessment but may fail to seek additional information to confirm or update his/her knowledge about internal controls? A. Group think B. Hindsight bias C. Overconfidence bias
C.
Which concept involves motivating employees so that they feel a part of the organization? A. equity B. equality C. inclusion D. diversity
C.
Which concept promotes fairness and justice where everyone receives the same things to enjoy a full, healthy life? A. inclusion B. equity C. equality D. diversity
C.
Within the cognitive-developmental paradigm, what is the most influential factor of an individual's moral behavior? A. fairness to others B. laws and rules C. moral judgement D. satisfying self interest
C.
Cognitive dissonance can best be defined as ______. A. the disconnect between moral sensitivity and moral judgment B. the correlation between moral judgment and moral behavior C. the difference between our perceptions and behavior D. the inconsistency between our perceptions and behavior
D.
In Libby and Thorne's study of virtues, which of the following were identified as intellectual virtues? 1. Healthy skepticism 2. Diligence 3. Persistence 4. Dependability 5. Integrity 6.Truthfulness A. 1, 3, 5, 6 B. 1, 3, 4, 5 C. 2, 3, 5, 6 D. 1, 4, 5, 6
D.
Ace Manufacturing: Davis not allowing his relationship with Paul to interfere with making the right choice falls under which step of the Integrated Ethical Decision-Making Process? A. Ethical judgment B. Ethical intent C. Ethical behavior D. Ethical sensitivity
D.
Objections an individual may hear from coworkers when trying to point out a potential ethical problem are referred to as ______. A. ethical checkpoints B. moral motivation C. motivational factors D. reasons and rationalizations
D.
The underlying concept of moral sensitivity is ______. A. the ability to make moral judgments B. reflecting on the outcomes of decisions C. recognizing alternative actions affecting ourselves D. recognizing the effect of one's actions on the welfare of others E. recognizing the effect of one's actions on the individual
D.
Which concept involves treating individuals with respect and celebrating the rich dimensions of individuality? A. equity B. equality C. inclusion D. diversity
D.
Which of the following are dimensions included in Jones's moral intensity model? 1. Moral Judgment 2. Social Consensus 3. Temporal Immediacy 4. Proximity 5. Moral Motivation A. 1, 2, 4 B. 3, 4, 5 C. 1, 3, 5 D. 2, 3, 5
D.
Which of the following are included in the "social contract" accountants have? A. Commitment to serve the interest of superiors B. Commitment to a code of ethics C. Commitment to serve the interest of the client D. Commitment to lifelong learning E. Commitment to serve the interest of the public A. 1, 2, 4 B. 3, 4, 5 C. 1, 3, 5 D. 2, 4, 5
D.
Which of the following increases moral intensity in Jones's moral intensity model? 1. a higher concentration of effect 2. a decrease in proximity of the decision maker and those affected 3. a lower degree of moral character 4. a higher likelihood of occurrence and harm A. 1 & 3 B. 2 & 4 C. 3 & 4 D. 1 & 4
D.
Which of the following is not a part of the ethical domain for accountants and auditors? A. General public B. Accounting profession C. Regulatory bodies (SEC, PCAOB) D. Legal profession
D. Legal Profession
What is the ethical dilemma facing Heinz?
Whether to steal the drug or not
In stage 1 of Kohlberg's model, behavior is driven by the desire to ______.
avoid punishment
In the context of business, the decision one makes can be influenced by _____ culture.
corporate
Kohlberg developed the example of Heinz and the Drug to illustrate a _____ dilemma.
moral
An auditor who reasons at stage 5 should emphasize ______.
the public interest
Responsibilities to the key constituent groups of the ethical domain for accountants and auditors may conflict.
true
In stages 5 and 6, the auditor's behavior should be primarily influenced by _____ ethical principles.
universal
