My Lab IBUS330 Ch 5 Practice questions

Darron Alvarez needs to decide whether to close down a plant located in a country where the factory is a major employer. According to the accounting​ department, closing the plant makes financial​ sense, but Darron does not have the heart to fire the workers. Based on his own personal values and his affection for the​ employees, Darron decides to try harder to find ways to make the plant viable.​ Darron's ethical standard is the​ ________ approach. A. common good B. rights C. utilitarian D. fairness E. virtue

virtue---- Correct. According to the virtue​ approach, the best action emphasizes virtues that provide for the full development of our humanity. The most important virtues are​ truth, courage,​ compassion, generosity,​ tolerance, love,​ integrity, and prudence. Darron exhibits these virtues.

Which of the following is the final step in the framework for making ethical​ decisions? A. Acknowledging the problem B. Developing alternatives C. Investigating the facts D. Assessing the results E. Executing a course of action

Assessing the results-- Correct. Once the decision is​ implemented, management will need to evaluate it to see how effective it was. Results evaluation may require​ collecting, analyzing, and using information to answer questions about the chosen course of action. The goal is to ensure the action achieves its intended effect and find out whether the firm should modify the approach or pursue a different one.

Which of the following refers to the expectations and values that aid in employee decision making within a​ company? A. Code of conduct B. Relativism C. Corporate governance D. Normativism E. Code of ethics

Code of ethics--- Correct. A code of ethics is a document that describes the values and expectations that guide decision making by all employees in the firm.

_______ involve a​ company's concern with​ wages, taxes, public​ works, and disadvantaged communities. A. Political interests B. Cultural interests C. Social interests D. Environmental interests E. Economic interests

Economic interests-- Correct. Economic interests of sustainable businesses involve a​ company's concern with​ wages, taxes, public​ works, and disadvantaged communities.

Applying a chosen plan and ensuring that the plan is carried out appropriately is which step in the framework for making ethical​ decisions? A. Implementing a course of action B. Analyzing the facts C. Producing alternatives D. Measuring results E. Determining the problem

Implementing a course of action---- Correct. Applying a course of action involves choosing a plan and ensuring that plan is carried out appropriately

________ attempts to identify possible plans of action and examines each to determine the best decision available. A. Applying a course of action B. Analyzing the facts C. Producing alternatives D. Measuring results E. Determining the problem

Producing alternatives---- Correct. Producing alternatives attempts to identify possible plans of action and examine each to determine the best decision available.

Town​ Boutique, a local clothing​ store, recently switched suppliers due to rumors that its supplier in Bangladesh was employing underage workers in its factories. By no longer doing business with the supplier in​ Bangladesh, Town Boutique was upholding which CSR​ value? A. Engaging in philanthropic efforts B. Avoiding​ age-based discrimination C. Establishing child labor laws D. Preventing corruption E. Reducing child labor

Reducing child labor--- Correct. Eliminating child labor is one of the values of​ CSR, so not working with companies that take part in child labor is taking a proactive approach to CSR.

Which of the following is an example of a sustainable​ practice? A. Rotating farm crops B. Limiting the use of recycled water C. Using power plants for electricity D. Measuring air pollution E. Engaging in philanthropic activities

Rotating farm crops--- Correct. Agricultural practices such as crop rotation support sustainability by improving crops and preserving land

Which of the following refers to improving work conditions and providing health benefits and educational opportunities for employees while attempting to avoid practices that pose harm to​ employees? A. Environmental interests B. Political interests C. Social interests D. Economic interests E. Cultural interests

Social interests--- Correct. Social interests of a business involve improving work conditions and providing health benefits and educational opportunities for employees while attempting to avoid practices that pose harm to employees.

Which approach to corporate governance emphasizes creating the most good or the least harm for​ consumers, stakeholders,​ communities, and the​ environment? A. Utilitarian approach B. Rights approach C. Common good approach D. Virtue approach E. Fairness approach

Utilitarian approach --- Correct. The utilitarian approach provides the most good or the least harm and produces the greatest balance of good over harm to​ customers, employees,​ shareholders, the​ community, and the natural environment.

Which corporate social responsibility​ (CSR) setting emphasizes a​ firm's practices in relation to employee​ diversity, staffing,​ income, safety, and working​ conditions? A. Environmental CSR B. Public CSR C. Community CSR D. Workplace CSR E. Marketplace CSR

Workplace CSR---- Correct. Workplace CSR focuses on the​ firm's employees and implies a thoughtful approach to​ diversity, recruitment,​ salary, safety,​ health, and working conditions.

A document that describes the values and expectations that aid in employee decision making within a company without providing specific rules is called​ ________. A. corporate governance B. a social responsibility contract C. a code of ethics D. a code of conduct E. a moral contract

a code of ethics-- Correct. A code of ethics is a document that describes the values and expectations that guide decision making by all employees in the firm.

In the framework for making ethical​ decisions, ________ involves figuring out the extent of a​ situation, and then confirming the most valuable information. A. measuring results B. producing alternatives C. analyzing the facts D. applying a course of action E. determining the problem

analyzing the facts--- Correct. Analyzing the facts involves figuring out the extent of a​ situation, and then confirming the most valuable information.

The most common form of corruption that occurs in international business is​ ________. A. extortion B. embezzlement C. bribery D. money laundering E. fraud

bribery--- Correct.​ Bribery, which is widely practiced around the​ world, is the most notable form of corruption in international business.

When an individual offers money or favors to someone for personal gain or in order to persuade that person to participate in some form of​ corruption, it is called​ ________. A. money laundering B. bribery C. embezzlement D. extortion E. fraud

bribery---- Correct. Bribery occurs when a person offers or gives another person a​ gift, cash, or favor to act dishonestly in exchange for personal gain.

The​ ________approach to corporate governance asserts that the best action stresses respect and compassion for all people and improves the quality of life for all people. A. rights B. utilitarian C. fairness D. virtue E. common good

common good --- Correct. The common good approach emphasizes the welfare of the entire community or nation and asks what action contributes most to the quality of life of all affected people.

A clothing factory agrees to pay for public road improvements in the area surrounding the factory. This is an example of a sustainable business pursuing​ ________ interests. A. environmental B. spiritual C. social D. marketing E. economic

economic--- Correct. Economic interests refer to the​ firm's economic impact on the localities where it does business.

Minimizing the creation of contaminants and working to improve the natural surrounding is the primary focus of​ ________. A. environmental CSR B. community CSR C. workplace CSR D. marketplace CSR E. public CSR

environmental CSR--- Correct. Environmental CSR refers to the​ firm's activities to minimize or eliminate the creation of pollutants as well as efforts to improve the natural environment.

Increasing the use of recyclable​ materials, using alternative energy​ sources, and decreasing pollution are all​ ________ interests of sustainable businesses. A. cultural B. social C. environmental D. political E. economic

environmental-- Correct. Environmental interests of sustainable businesses include increasing the usage of recyclable​ materials, decreasing​ pollution, and using alternative energy sources.

Recently Amanda got a phone call from what she thought was her bank asking her to verify some personal information such as her Social Security number and bank card numbers. She later found suspicious charges on her bank statement from an unknown source. She contacted her​ bank, which informed her that it never contacted her. Amanda was most likely a victim of​ ________. A. extortion B. embezzlement C. fraud D. money laundering E. bribery

fraud--- Correct. Fraud involves wrongfully deceiving a person or other party to give up assets or cash

An example of​ ________ is creating or obtaining pirated or counterfeit materials from various questionable sources. A. intellectual property infringement B. relativism C. bribery D. extortion E. embezzlement

intellectual property infringement -- Correct. Intellectual property infringement involves the illicit use of property such as piracy or counterfeiting.

George believes that all ethical truths are not​ absolute, but instead differ between groups of people. George believes in the concept known as​ ________. A. normativism B. the utilitarian approach C. corporate governance D. relativism E. sustainability

relativism-- Correct. Relativism is the belief that ethical truths are not absolute but differ from group to group.

The​ ________ approach to corporate governance is based on the belief that human dignity must be maintained and protected no matter what. A. virtue B. common good C. fairness D. rights E. utilitarian

rights--- Correct. The rights approach protects and respects the moral rights of everyone involved and is based on the belief that regardless of how you deal with an ethical​ dilemma, human dignity must be preserved.

Following charges that some of its Indian subcontractors were using forced child​ labor, GAP withdrew a line of​ children's wear from its clothing stores worldwide.​ GAP's action exemplifies that it is pursuing​ ________. A. social interests B. selfish interests C. economic interests D. environmental interests E. government interests

social interests--- Correct. Social interests refer to how the firm performs relative to societies and social​ justice, often termed social impact. The firm with a strong social interest aims to optimize work conditions and diversity in hiring. It avoids using​ sweatshops, child​ labor, and other practices that harm workers.​ Instead, the sustainable firm provides a safe work​ environment, health​ insurance, retirement​ benefits, and educational opportunities for employees.

Samantha is an accountant at LM Accounting. Every once in a while when Samantha has a particularly difficult​ client, she tends to charge a bit more for services even if she did not actually work the extra time. She knows for a fact that other employees do the same​ thing, so she feels justified in her actions.​ Samantha's actions are an illustration of​ _________. A. embezzlement B. normativism C. relativism D. extortion E. unethical behavior

unethical behavior--- Correct. Unethical behavior involves acting in a way that does not reflect moral values and principles.​ Samantha's charging more when she did not work the extra time does not reflect ethical behavior.

Of the​ following, which term describes a collection of techniques and practices that are used to manage and control​ organizations? A. Relativism B. Corporate social responsibility C. Ethics D. Sustainability E. Corporate governance

Corporate governance-- Correct. Corporate governance is the system of procedures and processes by which corporations are​ managed, directed, and controlled.

Which term describes organizations meeting or even sometimes exceeding the ethical and legal standards placed upon them by their​ customers, shareholders, and​ communities? A. Corporate social responsibility B. Sustainability C. Relativism D. Normativism E. Corporate governance

Corporate social responsibility -- Correct. Corporate social responsibility refers to operating a business in a manner that meets or exceeds the​ ethical, legal, and commercial expectations of​ customers, shareholders,​ employees, and the communities where the firm does business.

Which step in the framework for making ethical decisions involves initially recognizing the existence of an ethical​ issue? A. Determining the problem B. Measuring results C. Producing alternatives D. Analyzing the facts E. Applying a course of action

Determining the problem---- Correct. Determining the problem involves initially recognizing the existence of an ethical issue.

________ occurs when an employee purposely mismanages or even steals money belonging to an employer. A. Counterfeiting B. Money laundering C. Embezzlement D. Bribery E. Extortion

Embezzlement-- Correct. Embezzlement is the theft or misuse of funds typically placed in​ one's care or belonging to​ one's employer.

Which of the following terms describes moral principles and values that govern the actions of​ individuals, corporations, and governing​ systems, with respect to what is right and what is​ wrong? A. Ethics B. Sustainability C. Corporate social responsibility D. Corporate governance E. Relativism

Ethics-- Correct. Ethics are moral principles and values that govern the behavior of​ people, firms, and governments regarding right and wrong.

________ involves a​ corporation's dealings with its​ consumers, competitors,​ suppliers, and distributors and includes portraying appropriate and ethical behavior. A. Economic CSR B. Workplace CSR C. Environmental CSR D. Marketplace CSR E. Community CSR

Marketplace CSR--- Correct. Marketplace corporate social responsibility​ (CSR) emphasizes company interactions with​ customers, competitors,​ suppliers, and distributors.

________ is the part of the framework for making ethical decisions that involves analyzing the plan after it has been implemented to determine its effectiveness. A. Applying a course of action B. Measuring results C. Determining the problem D. Producing alternatives E. Analyzing the facts

Measuring results--- Correct. Measuring results involves analyzing the plan after it has been implemented to determine its effectiveness.

Which of the following describes procuring money through illegitimate methods and then obscuring that money through legitimate business​ transfers? A. Money laundering B. Extortion C. Fraud D. Embezzlement E. Bribery

Money laundering--- Correct. Money laundering is the concealment of the origins of funds obtained through illegal​ means, typically by transferring the funds illicitly through banks or other legitimate businesses

Which of the following is NOT an example of corporate social responsibility​ (CSR) values? A. Engaging in philanthropic activities B. Eradicating child labor C. Guarding against corruption D. Protecting the natural environment E. Promoting workplace cleanliness

Promoting workplace cleanliness---- Correct. Promoting workplace cleanliness does not benefit the​ environment; it only helps the organization itself.

Which of the following involves engaging in activities to meet​ society's needs in the present​ time, while also being mindful of future generations and their​ needs? A. Normativism B. Ethics C. Sustainability D. Relativism E. Corporate social responsibility

Sustainability-- Correct. Sustainability means meeting​ humanity's needs today without harming the ability of future generations to meet their needs.

The board of directors of​ XYZ, Inc. realized that by purchasing electronic components from ABC Electronics in​ India, XYZ was implicitly approving​ ABC's practice of hiring only speakers of the​ country's primary​ language, Hindi. ABC refuses to hire workers who speak minority​ languages, such as​ Tamil, which is spoken only in southern India. By breaking off relationships with​ ABC, XYZ was​ ________. A. complying with opinion leaders B. preventing employee abuse C. guarding against corporate bribery D. preventing deceptive hiring practices E. avoiding workplace discrimination

avoiding workplace discrimination--- Correct. Adhering to corporate social responsibility implies a proactive approach to ethical behavior in which firms seek not only to maximize​ profits, but also to benefit society and the environment. ABC Electronics was discriminating against​ non-Hindi speakers.