SUE201.txt

_____ reasoning is reasoning about what we should do. | Practical
. "Closed-loop" production seeks to integrate what is presently waste, back into production. In an ideal situation, the waste of one firm becomes the resource of another, and such synergies can create eco-industrial parks. This principle is often referred to as: | biomimicry.
. Identify the practice of promoting a product by misleading consumers about the environmentally beneficial aspects of the product. | Greenwashing
. In the ethical decision-making process, creativity in identifying options is also known as _____. | moral imagination
"_____" include all of the groups and/or individuals affected by a decision, policy, or operation of a firm or individual. | Stakeholders
7. Which of the following is the objective of the Grayson-Himes Pay for Performance Act? | To ban future "unreasonable and excessive" compensation at companies receiving federal bailout money
10. Philosophers often emphasize that ethics is _____, which means that it deals with a person's reasoning about how he or she should act. | normative
15. The _____ discipline provides an account of how and why people do act the way they do. | descriptive
16. Individual codes of conduct based on one's value structures regarding how one should live, how one should act, what one should do, what kind of a person should one be etc. is sometimes referred to as _____. | morality
19. The _____ ethical tradition would take the two parties' agreement as evidence that both are better off than they were prior to the exchange and thus conclude that overall happiness has been increased by any exchange freely entered into. | utilitarian
30. Telling organizations that their ethical responsibilities end with obedience to the law: | is just inviting more legal regulation.
38. Which of the following refers to the pursuit of truth and the highest standard for what we should believe? | Theoretical reason
40. Which of the following can be thought of as the answer to the fundamental questions of theoretical reason? | The scientific method
A firm that balances its social goals against economic goals and does justice to both is said to follow the: | integrative model of corporate social responsibility.
A(n) _____ provides concrete guidance for internal decision making creating a built-in risk management system. | code of conduct
According to David Vogel,which of the following should a firm be most cautious about when engaging in CSR activities? | Investing in CSR when consumers are not willing to pay higher prices to support that investment.
According to philosopher Norman Bowie, managers have a responsibility to maximize profits as long as they: | respect human rights and cause no harm.
According to the _____ law of thermodynamics (the conservation of matter/energy), neither matter nor energy can truly be "created," it can only be transferred from one form to another. | first
Before environmental legislation was enacted, the primary legal avenue open for addressing environmental concerns was: | tort law.
Consumer vulnerability occurs when: | a person has an impaired ability to make an informed consent to the market exchange.
Corporate culture: | is fashioned by a shared pattern of beliefs, expectations, and meanings that influence and guide the thinking and behaviors of the members of that organization.
Corporate social responsibility refers to: | those things that businesses ought, or should, do, even if they would rather not.
Enlightened self-interest would be a valuable theory to introduce and apply in the _____ approach to health and safety. | market controlled
From a utilitarian perspective, individual rights to privacy or right to control information about oneself may be outweighed in cases where: | public safety is at risk.
Greater consumption is likely to lead to unhappiness, a condition termed _____. | affluenza
How did the use of an implied warranty of merchantability solve a set of problems with the contract law approach to product liability? | Consumers do not need complex contracts in order to protect themselves from all possible harms that products might cause.
Identify the act that expanded states' rights with regardto Internet surveillance technology, including workplace surveillance, and amendedthe Electronic Communications Privacy Act. | The USA PATRIOT Act
Identify the ethical tradition that directs us to act on the basis of moral principles. | Principle-based ethics
Identify the external mechanism that seeks to ensure ethical corporate governance. | The Sarbanes-Oxley Act
If the basis for finding an invasion of privacy is often the employee's legitimate and reasonable expectation of privacy, then a situation where there is no real expectation of privacy occurs when the: | employee has actual notice.
If we are told specifically to pay attention to a particular element of a decision or event, we are likely to miss all of the surrounding details, no matter how obvious. According to Bazerman and Chugh, this phenomenon is known as _____. | inattentional blindness
In economic terms, all resources: | are infinite because they can be replaced by substitutes.
In the ethical decision-making process, identify the step that involves predicting the likely, foreseeable, and the possible consequences to all the relevant stakeholders. | Comparing and weighing the alternatives
In the philanthropic model of CSR, situations where a business supports a social cause for the purpose of receiving a business benefit in return are not much different from: | the economic model of CSR.
Kathy, your best friend and class mate, asks you to help her with a challenging ethical predicament. Which of the following would be your first step in the decision making process? | Identifying the ethical issue
Marketing experts consider stealth marketing extraordinarily effective because: | a consumer does not question the message as she might challenge a traditional advertising campaign.
Marketing practices targeted at elderly populations for goods such as supplemental health insurance, funerals etc. are subject to criticism because: | that population is vulnerable.
Reminiscent of the _____ tradition, it is suggested that some animals have the cognitive capacity to possess a conscious life of their own and people have a duty not to treat these animals as mere objects and means to their own ends. | Kantian
Sara, an employee of PentaComp Inc., passed on confidential information of her company to her friend. Her friend benefitted from selling PentaComp's stock based on the information shared by Sara. In this scenario, Sara can be convicted of _____. | insider trading
Section 307 of the Sarbanes-Oxley Act addresses the: | rules of professional responsibility for attorneys.
Society creates a strong incentive for businesses to produce safer goods and services by holding them responsible for any harm their products cause. This claim supports the: | strict product liability standard.
Some companies have a(n)_____ policy under which an employer refuses to hire orterminates a worker on the basis of the spouse's working at the same firm. | anti-nepotism
Sustainability holds that: | a firm's financial goals must be balanced against environmental considerations.
The aspect of business ethics that examines business institutions from a social rather than an individual perspective is referred to as: | decision making for social responsibility.
The crux of normative ethics is that these disciplines: | presuppose some underlying values.
The first step in making decisions that are ethically responsible is to: | determine the facts.
The for-profit organizations that prioritize social entrepreneurship and sustainability as a central part of their strategic mission are pursuing the _____ model of CSR. | integrative
The form of business that limits the liability of individuals for the risks involved in business activities is known as _____. | corporation
The function of auditors as gatekeepers is to: | verify a company's financial statements so that investors' decisions are free from fraud and deception.
The practice of attending to the "image" of a firm is referred to as: | reputation management.
The U.S. Department of Commerce negotiated a Safe Harbor exception: | becausethe U.S. would not qualify as having adequate protection.
Virtue ethics emphasizes the more _____ side of our character. | affective
What is the difference between virtue ethics and principle-based ethics? | Virtue ethics is based on character traits, whereas principle-based ethics is based on a set of rules.
When a firm engages in socially responsible activities with a prime focus on reputation: | social responsibility tend to become a form of social marketing.
When we do not get to know someone because we do not have to see that person in order to do our business, we often do not take into account the impact of our decisions on him or her. This is the challenge posed by the: | facelessness that results from the use of new technology accessible in the workplace.
When would a values-based culture rely on the personal integrity of its workforce for making decisions? | In situations where the rules of the organization do not apply
Which of the following approaches conceives of practical reason in terms of deciding how to act and what to do? | Utilitarianism
Which of the following best describe the norms that guide employees, implicitly more often than not, to behave in ways that the firm values and finds worthy? | Organizational culture
Which of the following ethical requirements is the type of responsibility established by the precedents of tort law? | Duty to not cause avoidable harm to the society
Which of the following focuses on the concept of business practices and what type of people these practices are creating? | Virtue ethics
Which of the following holds that a business is responsible for the entire life of its products, including the ultimate disposal even after the sale? | The cradle-to-grave model
Which of the following involves the disclosure of unethical or illegal activities to someone who is in aposition to take action to prevent or punish the wrongdoing? | Whistleblowing
Which of the following is a disadvantage of monitoring? | Monitoring tends to constrain effective performance since it can cause increased stress and pressure.
Which of the following is a problem associated with the regulatory approach to environmental challenges? | The regulatory model assumes that economic growth is environmentally and ethically benign.
Which of the following is a problem with utilitarian ethics? | Its need to count, measure, compare, and quantify consequences
Which of the following is a value that will impact the culture of an organization in the absence of any other established values? | Profit—at any cost
Which of the following is an essential element in establishing an ethical leadership? | The end or objective toward which the leader leads
Which of the following is discrimination against those traditionally considered to be in power or the majority? | Reverse discrimination
Which of the following is true about the "Hawthorne Effect"? | According to the Hawthorne effect, workers' productivity improves when they are singled out.
Which of the following is true about the concept of sustainable development and sustainable business practice? | It suggests a radically new vision for integrating financial and environmental goals, compared to the growth model that preceded it.
Which of the following is true about the European Union's Directiveon Personal Data Protection? | It prohibits EU firms from transferring personal information to a non-EU country unless that country maintains "adequate protections" of its own.
Which of the following is true about the market-based approach to environmental responsibility? | Market failure occurs when no markets exist to create a price for important social goods.
Which of the following is true of a service-based economy? | A service-based economytends to the consumers' demand for clothes cleaning, floor covering, illumination, entertainment, and so forth.
Which of the following is true of change blindness? | It occurs when decision makers fail to notice gradual variations over time.
Which of the following is true of Federal Sentencing Guidelines for boards? | The board must be knowledgeable about the objectives and process of the ethics program rather than simply the mere contents of a training session.
Which of the following is true of health and safety at the workplace? | Health and safety have instrumental value and intrinsic value.
Which of the following legal duties of board members suggests that a director does not need to be an expert or actually run the company? | Duty of care
Which of the following models does not differentiate natural resources from the other factors of production and does not explain the origin of resources? | The circular flow model
Which of the following models of corporate social responsibility holds pursuit of profit as the sole duty of a business? | Economic model of corporate social responsibility
Which of the following principles does utilitarianism emphasize? | Producing the greatest good for the greatest number
Which of the following problems are associated with the market controlled approach to health and safety? | Employees do not know the risks involved in a job and therefore are not in a position to freely bargain for appropriate wages.
Which of the following prohibits the "interception" or unauthorized access of stored communications? | The Electronic Communications Privacy Act of 1986
Which of the following recommends cycling the waste of one activity into the resource of another? | The biomimicry principle
Which of the following rely on gatekeepers for fair and effective functioning of economic markets? | Bankers
Which of the following scenarios gives rise to conflicts of interests in corporate governance? | Senior executives determining the compensation received by board members
Which of the following statements about the GeneticInformation Non-Discrimination Act of 2009 (GINA) is true? | Under GINA, an employer can collectgenetic information in order tomonitor the biological effects of toxic substances in the workplace.
Which of the following statements is true about ethical decision making in business? | Ethical decision making is not limited to the type of major corporate decisions with dramatic social consequences.
Which of the following statements is true about the Federal Sentencing Guidelines for Organizations? | They provide uniformity and fairness to the judiciary system.
Which of the following statements is true about the philanthropic model of corporate social responsibility? | This model holds that business has no strict obligation to contribute to social causes, but it can be a good thing when they do so.
Which of the following statements is true about the right of due process? | In legal contexts, due process refers to the procedures that police and courts must follow in exercising their authority over citizens.
Which of the following statements reflects the approach of a principle-based ethical tradition? | Obey the law
Which of the following theories recognizes the fact that every business decision affects a wide variety of people—benefiting some and imposing costs on others? | Stakeholder theory
Which of the following was suggested by William Baxter? | An optimal level of pollution can be achieved through competitive markets.
Which provision of the Sarbanes-Oxley Act prohibits various forms of professional services that are determined to be consulting rather than auditing? | Section 201
While approaching an ethical issue in marketing, the rights-based tradition would: | ask to what degree the participants are respected as free and autonomous agents rather than treated simply as means to the end of making a sale.
_____ is that aspect of ethics that is referred to by the phrase "personal integrity." | Morality
_____ refers to the body of law comprised of the decisions handed down by courts, rather than specified in any particular statutes or regulations. | Common law
. _____ theory argues that the narrow economic model fails both as an accurate descriptive and as a reasonable normative account of business management. | Stakeholder
. Which of the following is an example of reverse discrimination in America? | A female interviewer rejects a male interviewee because of gender.
. Which of the following refers to the growing marketing practice of taking back one's products after their useful life? | Reverse channels
2. Which of the following statements is true about ethical decision making in business? | At some point, every worker will be faced with an issue that will require ethical decision making.
9. Which of the following is an approach advocated while teaching ethics? | Teachers should consider acceptance of customary norms as an adequate ethical perspective.
11. Which of the following observations is true of ethics? | It deals with our reasoning about how we should act.
12. Like ethics, social sciences such as psychology and sociology also examine human decision making and actions. However, these fields differ from ethics because they are _____. | descriptive in nature
34. Practical reasoning is reasoning about: | what we should do.
A business will seek to limit its liability by explicitly disowning any promise or warranty by: | issuing a disclaimer of liability.
According to economist Herman Daly, neoclassical economics, with its emphasis on economic growth as the goal of economic policy will inevitably fail to meet these challenges: | unless it recognizes that the economy is but a subsystem within earth's biosphere.
According to Norman Bowie, the "moral minimum" that we expect of every person—either acting as individuals or within corporate institutions—is: | respect for human rights.
According to Socrates, which of the following aspects leads to an unexamined life not worth living? | Passivity
According to the _____ ethics tradition, people act out of habit than out of deliberations. | virtue
According to the economic model of corporate social responsibility, the sole duty of a business is to: | fulfill the economic functions that it was designed to serve.
According to the universal principle of Kantian philosophy, the ethical obligation of _____ should guide employment interactions. | respect for people
According toeconomist John Kenneth Galbraith, advertising and marketing were creating the very consumer demand that production then aimed to satisfy. The assertion that consumer demand relies upon what producers have to sell is termed: | the dependence effect.
An employer is held liable for damages caused by an accident involving an employee driving the company car on company business. Identify the law underlying this decision. | The doctrine of respondent superior
As compared to a traditional compliance-oriented program, an evolved and inclusive ethics program: | entails helping to unify a firm's global operations.
Discussions in ethics about employee health and safety tend to focus on the relative risks workers face and the level of acceptable workplace risk because: | employers cannot be responsible for providing an ideally safe and healthy workplace.
Estimates suggest that with present technologies, businesses can readily achieve at least a fourfold increase in efficiency, and perhaps as much as a tenfold increase. This can be achieved through the first principle of sustainability known as: | eco-efficiency.
General vulnerability occurs when: | a person is susceptible to some specific physical, psychological, or financial harm.
Identify the barrier where individuals or groups select the option that meets the minimumdecision criteria, the one that people can live with, even if it might not be the best. | Satisficing
Identify the COSO element that is directed at supporting the control environment through fair and truthful transmission of facts. | Information and communications
Identify the duty of obedience according to which board members should strive toward corporate objectives, and are not permitted to act in a way that is inconsistent with the central goals of the organization? | Duty of good faith
Identify the gatekeepers who ensure that decisions and transactions conform to the law. | Attorneys
Identify the view which holds that people act only out of a self-interest. | Egoism
In a general sense, a business _____ is anyone who affects or is affected by decisions made within the firm, for better or worse. | stakeholder
In an ethical decision-making process, moral imagination helps individuals make ethically responsible decisions. Identify the step in which moral imagination is critical. | Considering the available alternatives
In selling a product, a business offers tacit assurances that the product is reasonably suitable for its purpose. The law refers to this as the: | implied warranty of merchantability.
In the ethical decision-making process, once we have examined the facts, identified the ethical issues involved, and identified the stakeholders, we need to next _____. | consider the available alternatives
Most statutes or common law decisions provide for employer defenses for all of the following EXCEPT: | those rules that treat one group differently from another considering lifestyle practices.
Norms: | are standards of appropriate and proper behavior.
Section 406 of the Sarbanes-Oxley Act addresses the: | codes of ethics for senior financial officers.
Some employers might decide to treat employees well as a means to produce greater workplace harmony and productivity. This approach is reminiscent of _____ ethics. | utilitarian
Speaking on a cell phone while driving, and as a result, missing a highway turn-off by mistake is an example of _____. | inattentional blindness
Stakeholder theory is an example of the: | social web model of corporate social responsibility.
The _____ ethical tradition would see a simple situation of an agreement for an exchange between two parties asupholding respect for individuals by treatingthem as autonomous agents capable of pursuing their own ends. | rights-based
The essence of utilitarianism is its: | reliance on consequences.
The first step in constructing a personal code or mission for a firm is to: | ask oneself what one stands for or what the firm stands for.
The inability to recognize ethical issues is known as _____. | normative myopia
The issue of workplace bullying is more predominant in the service sector because: | that work relies significantly on interpersonal relationships and interaction.
The law relating to affirmative action appliesonly to about 20 percent of the workforcewho are subject to Executive Order 11246,which requires affirmative action efforts to ensure equal opportunity. Which of the following is required by courts in order to remedy a finding of past discrimination,when ExecutiveOrder 11246 is not applicable? | Judicial affirmative action
The life of one who dies in a workplace accident has _____ value that can be measured, in part, by the lost wages that would have been earned had that person lived. | instrumental
The means used to motivate others and achieve one's goals plays a key role in distinguishing between: | effective leaders and ethical leaders.
The philanthropic model in which business support for a social cause is done because it is the right thing to do differs from the reputational version only in terms of the: | underlying motivation.
The possibility that the economy cannot grow indefinitely is simply not part of the: | circular flow model.
The second step in the development of guiding principles for a firm is to: | articulate a clear vision regarding the firm's direction.
The study of various character traits that can contribute to, or obstruct, a happy and meaningful human life is part of _____. | virtue ethics
The three goals of sustainable development that include economic, environmental, and ethical sustainability are referred to as the: | three pillars of sustainability.
The Title VII of the _____, passed in 1964, created the prohibited classes of discrimination. | United States Civil Rights Act
The Triple Bottom Line approach involves measuring business success of sustainable businesses and sustainable economic development in terms of: | economic, ethical, and environmental sustainability.
Title II of the USA PATRIOT Act provides roving surveillance authority under the: | Foreign Intelligence SurveillanceAct to track individuals.
Values that are fundamental across culture and theory are called: | hypernorms.
Which among the following is a legal right? | The right to bargain collectively as part of a union
Which of the following about the regulation of off-work acts in the U.S. is true? | Laws that protect employees against discrimination based on marital status exist in just under half of the states.
Which of the following allows organizations to uncover silent vulnerabilities that could pose challenges later to the firm, serving as a vital element in risk assessment and prevention? | Ongoing ethics audit
Which of the following are beliefs and principles that provide the ultimate guide to a company's decision making? | Core values
Which of the following directed the USSC to consider and to review its guidelines for fraud relating to securities and accounting, as well as to obstruction of justice, and specifically asked for severe and aggressive deterrents insentencing recommendations? | Sarbanes-Oxley Act
Which of the following do advertising and other marketing practices violate by creating consumer wants? | Consumer autonomy
Which of the following explains the statement "All resources are fungible"? | It means that all resources can be replaced by substitutes.
Which of the following gatekeepers guarantee that executives act on behalf of the stockholders' interests? | Board of directors
Which of the following holds that a business should be responsible for incorporating the end results of its products back into the productive cycle? | Cradle-to-cradle
Which of the following is a criticism of the Sarbanes-Oxley Act? | It imposes extraordinary financial costs on the firms.
Which of the following is a similarity between utilitarianism and stakeholder theory? | Both consider the consequences of management decisions for the well-being of all affected groups.
Which of the following is an advantage of drug testing? | Drug testing tends to provide a productivity benefit for companies.
Which of the following is an example of a firm that is failing its fundamental social responsibility? | A firm that uses resources at unsustainable rates
Which of the following is the final step in the ethical decision-making process? | Monitoring and learning from outcomes
Which of the following is true about an integrity-based culture? | It reinforces a particular set of values.
Which of the following is true about the Sarbanes-Oxley Act? | It required public companies to establish a code of conduct for top executives and, if they did not have one, to explain why it did not exist.
Which of the following is true about the USA PATRIOT Act? | The act expands states' rights with regard to Internet surveillance technology.
Which of the following is true about tort law? | Tort law holds manufacturers accountable in cases when consumers are injured by products and no one is at fault.
Which of the following is true of ethics based on rights? | There is no agreement on the scope and range of rights.
Which of the following is true of excessive compensation packages? | When huge amounts of compensation depend on quarterly earnings reports, there is a strong incentive to manipulate those reports in order to achieve the money.
Which of the following is true of normative myopia? | It refers to the shortsightedness about values.
Which of the following is true of the COSO controls and the Sarbanes-Oxley requirements? | They encourage greater accountability for financial stewardship.
Which of the following is true of the sustainability model in terms of environmental responsibilities? | The huge unmet market potential among the world's developing economies can only be met in sustainable ways.
Which of the following mechanisms allows employees to report wrong doing and to create mechanisms for follow-up and enforcement? | Ombudsman
Which of the following provisions of the Sarbanes-Oxley Act mandates majority of independents on any board and total absence of current or prior business relationships? | Section 301
Which of the following situations could result in the business culture becoming a determining factor in ethical decision making? | Law providing incomplete answers
Which of the following statements about the Electronic Communications Privacy Act of 1986 is true? | A firm that secures employee consent to monitoring at the time of hire is immune from ECPA liability.
Which of the following statements is inferred from Rawls's theory of justice? | A decision which is partial is considered an unfair decision.
Which of the following statements is true about cost-benefit analysis? | It requires that an economic value be placed on one'slife and bodily integrity.
Which of the following statements is true about monitoring? | It has the potential to cause physical disorders such as carpaltunnel syndrome.
Which of the following statements is true about negligence? | One can be negligent by doing something that one should not.
Which of the following statements is true about stealth marketing? | It refers to situations where consumers are subject to directed commercial activity without their knowledge.
Which of the following statements is true about the market controlled approach to health and safety? | In this approach, employees are free to choose the risks they are willing to face by bargaining with employers.
Which of the following suggests that a business takes resources, makes products out of them, and discards whatever is left over? | The take-make-waste approach
Which of the following terms refers to shortsightedness about values? | Normative myopia
Which of the following ways can lead market failure to serious environmental harm? | Making no distinction between individual decisions and group consequences
While approaching an ethical issue in marketing, the utilitarian tradition would want to know: | the degree to which the transaction provided actual as opposed to merely apparent benefits.
_____ establish the guidelines or standards for determining what one should do, how one should act, what type of person one should be. | Norms
. _____ of the Sarbanes-Oxley Act addresses the disclosure of audit committee financial expert. | Section 407
. A _____exists where a person holds a position of trust that requires that he exercise judgment on behalf of others, but where his personal interests conflict with those of others. | conflict of interest
. Focusing failures result in moments where we ask ourselves, "How could I have missed that?" According to Bazerman and Chugh, this phenomenon is known as: | inattentional blindness.
. The simple situation in which two parties come together and freely agree to an exchange is ethically legitimateonly prima faciebecause: | certain conditions must be met before it can be concluded that autonomy has been respected and mutual benefit has been achieved.
. Which of the following is a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders? | Marketing
. Which of the following is true about technology and its usage? | It tends to cause facelessness that is a challenge that has to be met.
"Just as individuals have no ethical obligation to contribute to charity or to do volunteer work in their community, business has no ethical obligations to serve wider social goods. But, just as charity is a good thing and something that we all want to encourage, business should be encouraged to contribute to society in ways that go beyond the narrow obligations of law and economics." Identify the model of CSR that reflects this line of thought. | Philanthropic model
6. Identify the bill that was passed in April 2009 to amend the executive compensation provisions of the Emergency Economic Stabilization Act of 2008 to prohibit unreasonable and excessive compensation and compensation not based on performance standards. | Grayson-Himes Pay for Performance Act
14. As a _____ discipline, ethics seeks an account of how and why people should act a certain way. | normative
32. Which of the following observations is true? | The law cannot anticipate every new dilemma that businesses might face.
33. Which of the following helps identify potential events that may affect the entity, and manage risk to be within its risk appetite, to provide reasonable assurance regarding the achievement of entity objectives? | Risk assessment
37. _____ reasoning is reasoning about what we should believe. | Theoretical
39. According to the tradition of theoretical reason, _____ is the great arbiter of truth. | science
A claim which states that people who 'pay' for wrongs are unfairly burdened and should not bear the responsibility for the acts of others, is opposing _____. | affirmative action
A narrow view of corporate social responsibility is expressed by the: | economic model of corporate social responsibility.
A rights-based ethical framework would object to child labor because: | such practices violate our duty to treat children with respect.
According to Donaldson and Dunfee, examples of hypernorms include the right to: | personal freedom.
According to economist Antonio Argandona, which of the following elements would include issues relating to company secrets, espionage, and intelligence gathering? | Respect for privacy
According to Immanuel Kant, there is essentially one fundamental moral duty: | to treat each person as an end in themselves.
According to the _____, the most efficient economy is structured based on the principles of free market capitalism. | utilitarian framework of ethics
According to the libertarian versions of social justice, _____ is the central element of social justice. | individual liberty
According to the philosopher Norman Bowie, the contractual duty that managers have to stockholder-owners: | overrides their responsibility to prevent harm or to do good.
All of the following are ways through which affirmative action can arise at the workplace except: | consultant based affirmative action.
Consequences, justifications, principles, rights, or duties are all methods to: | compare and weigh alternatives.
Corporate managers who fail to give due consideration to the rights of employees and other concerned groups in the pursuit of profit are treating these groups as means to the ends of stockholders. This is unjust according to the _____. | rights-based ethical framework
Cradle-to-grave and cradle-to-cradle responsibilities are part of the _____ sustainable business principle. | biomimicry
Critics in both industry and government argue that OSHA should aim to achieve the optimal, rather than highest feasible, level of safety. Which of the following can be used to achieve this goal? | Cost-benefit analysis
Employees will be on their best behavior during phone calls if they know that those calls are being monitored. Identify this effect of employee monitoring. | The Hawthorne effect
Ethics seeks an account of how and why people should act a certain way, rather than how they do act. This nature of ethics makes it a(n) _____ discipline. | normative
How is an ethical, effective leader different from an effective leader? | An ethical leader will empower the employees in decision making.
Identify the approach that assumes that every purchase involves the informed consent of the buyer and is ethically legitimate. | Caveat emptor approach
Identify the correct statement about ethical leaders. | An ethical leader's traits and behaviors must be socially visible.
Identify the correct statement about government standards in the government-regulated ethics approach to health and safety. | Standards can overcome market failures that result from insufficient information.
Identify the distinguishing feature between cost-benefit analysis and cost-effectiveness. | Cost-benefit analysis is ethically problematic.
Identify the gatekeepers who function as intermediaries between a company's stockholders and its executives. | Board of directors
If an employee's weight is evidence of or results from a disability, the employermust explore whether the worker is otherwise qualified for the position.Under theAmericans with Disabilities Act (ADA), the individual is considered "otherwise qualified" if she or he: | can performthe functions of the position with or without reasonable accommodations.
Markets can work to prevent harm only through information supplied by the existence of market failures. This is better known as the: | first-generation problem.
Milton Friedman claims that a corporate executive has a "responsibility to conduct business in accordance with his or her employer's desires, which generally will be to make as much money as possible while conforming to the basic rules of society, both those embodied in law and those embodied in ethical custom." This view of corporate social responsibility has its roots in the _____ tradition. | utilitarian
Morality is the aspect of ethics that we can refer to by the phrase "_____." | personal integrity
Name the legalviolation that occurs when someone intentionally interferes on the private affairs ofanother when the interference would be "highly offensive to a reasonable person." | Intrusion into seclusion
No group could function if members were free at all times to decide for themselves what to do and how to act. Which of the following functions to organize and ease relations between individuals? | Social contract
Over the long term, resources and energy cannot be used, nor waste produced, at rates at which the biosphere cannot replace or absorb them without jeopardizing its ability to sustain life. These are what Herman Daly calls the: | "biophysical limits to growth."
Philosophically, the right of _____ is the right to be protected against the arbitrary use of authority. | due process
Section 404 of the Sarbanes-Oxley Act addresses the: | management assessment of internal controls.
Some employers emphasize the rights and duties of all employees, and treat employees well simply because "it is the right thing to do." Identify the ethical approach for this perspective. | Deontological ethics
The _____ serves as an articulation of the fundamental principles at the heart of the organization and should guide all decisions without abridgment. | mission statement
The _____ value of the life is something that financial compensation cannot replace. | intrinsic
The _____model of CSR holds that, like individuals, business is free to contribute to social causes as a matter of philanthropy, and business has no strict obligation to contribute to social causes; but it can be a good thing when they do so. | philanthropic
The Arthur Andersen auditors did not notice how low Enron had fallen in terms of its unethical decisions over a period of time. According to Bazerman and Chugh, this omission is an example of _____. | change blindness
The conservation movement: | argued that the natural world was valued as a resource, providing humans with both direct benefits and indirect benefits.
The Constitution's Fourth Amendment protection against an unreasonable search and seizure governs only the public sector workplace because: | the Constitution applies only to state action.
The desire to place workers in appropriate positions, to ensure compliance with affirmative action requirements, or to administer workplace benefits is sufficient reason for employers to undertake employee _____. | monitoring
The implied warranty of merchantability shifts the burden of proof from: | consumers to producers.
The Kantian tradition claims that humans do not act only out of instinct and conditioning; they make free choices about how they live their lives, about their own ends. In this sense, humans are said to have a fundamental human right of: | autonomy.
The Supreme Courtseparated the "mandatory" element of theFederal SentencingGuidelines for Organizationsfrom their advisory role,holding that their mandatory nature: | violated the Sixth Amendment right to a jurytrial.
The tension that prevails when an organization tries to meet both social and economic responsibilities is generally overcome by: | pursuing social ends as the very core of an organization's mission.
Theoretical reasoning is reasoning about: | what we should believe.
Tom, an employee of Electronixx, adjusted credits and debits of the company's ledger to show high profits. He also created false documents, underreported his income, and evaded paying taxes for a year. Tom can be convicted for _____. | conflicts of interest in accounting
UniCo—a multinational corporation that specializes in designing, developing, and selling consumer electronics—outsources manufacturing products to a third-world country company. Human rights activists have criticized UniCofor operating in humane sweatshops at the manufacturing plants to gain profits. Although UniCo. is not directly liable to the labor exploitation, it threatens to pull out its business from the contracted company if the laborers are not provided with dignified wages and good working conditions. Which of the following responsibilities did the company fulfill in this scenario? | espondent superior
Utilitarianism has been called a(n): | consequentialist approach to ethics.
What is the difference between a principle-based framework of ethics and utilitarianism? | Ethics of principles is based on rules, whereas utilitarianism is based on consequences.
When can we conclude that an activity has an "acceptable level of risk?" | If it can be determined that the probability of harm involved in a specific work activity is equal to or less than the probability of harm of some more common activity.
When does issue identification become the first step in the ethical decision-making process? | When you are presented with an issue from the start
When faced with a situation that suggests two clear alternative resolutions, we often consider only those two clear paths, missing the fact that other alternatives might be possible. Considering limited alternatives is a stumbling block to responsible action that can be categorized as a(n) _____. | cognitive barrier
Which of the following acts grants access to sensitivedata with only a court order rather than a judicial warrant and imposes or enhancescivil and criminal penalties for knowingly or intentionally aiding terrorists? | The USA PATRIOT Act
Which of the following approaches emphasizes the need to follow legal rules regardless of unfavorable consequences? | Principle-based
Which of the following approaches to health and safety at the workplace can be considered paternalistic decision making which treats employees like children and makes crucial decisions for them? | Acceptable level of risk approach
Which of the following are additional ethical responsibilities board members should have beyond legal obligations? | They should be critical in their inquiries about corporate vulnerabilities.
Which of the following best describes corporate social responsibility? | It refers to the actions for which a business can be held accountable.
Which of the following best describes ethics? | The study of how human beings should properly live their lives
Which of the following elements is important not only to consider the obvious options with regard to a particular dilemma, but also the much more subtle ones that might not be evident at first blush? | Moral imagination
Which of the following elements of COSO refers to policies and procedures that support the cultural issues such as integrity, ethical values, competence, philosophy, and operating style? | Control activities
Which of the following ethical frameworks directs us to decide based on overall consequences of our acts? | Utilitarianism
Which of the following ethical traditions would have the strongest objections to manipulation? | Principle-based
Which of the following exemplifies insider trading? | Misappropriation of proprietary knowledge
Which of the following is a cognitive barrier to responsible, ethical decision-making? | Following simplified decision rules
Which of the following is an effective way of creating clear and successful reporting schemes? | Consistent and continuous communication of the firm's values to all stakeholders
Which of the following is an example of a social role? | Neighbor
Which of the following is an example of consumer vulnerability? | Children susceptible to any bright, attractive items of no practical value
Which of the following is an internal mechanism that seeks to ensure ethical corporate governance? | The COSO framework
Which of the following is an often overlooked aspect of advertising? | Educational function
Which of the following is emphasized by a compliance-based culture? | Obedience to rules as the primary responsibility of ethics
Which of the following is one of the "Four Ps" of marketing? | Promotion
Which of the following is the challenge associated with ethical pay offs? | It is very difficult to measure ethical pay offs.
Which of the following is the second step of the ethical decision-making process? | Identifying the ethical issues involved
Which of the following is true about a compliance-based culture and/or a value-based culture? | Values-based organizations include a compliance structure.
Which of the following is true about communicating unethical behavior in a corporate structure? | Reporting individuals can face retaliation from superiors.
Which of the following is true about corporate cultures? | Corporate cultures can hinder individuals in making the "right" decisions.
Which of the following is true about privacy? | Privacy can be legally protected by the constitution.
Which of the following is true about strict product liability? | It insures that society creates a strong incentive for business to produce safer goods and services by holding business strictly liable for any harm their products cause.
Which of the following is true about the economic model of CSR? | It contends that the goal of business managers should be to pursue profit within the law.
Which of the following is true about the regulatory approach to environmental challenges? | It shifted the burden from those threatened with harm to those who would cause the harm.
Which of the following is true of a market version of utilitarianism? | Individuals calculate for themselves what risks they wish to take.
Which of the following is true of a market-based approach to resolving environmental challenges? | It suggests that environmental problems deserve economic solutions.
Which of the following is true of gatekeepers? | They serve as intermediaries between market participants.
Which of the following is true of moral imagination? | It distinguishes good people who make ethically responsible decisions from good people who do not.
Which of the following is true of philanthropy in accordance with the economic model of corporate social responsibility? | Philanthropy done for financial reasons is ethically responsible.
Which of the following is true of the acceptable risk approach to health and safety? | It treats employees disrespectfully by ignoring their input as stakeholders.
Which of the following is true of the Brundtland Commission? | It defined sustainable development as development that meets the needs of the present without compromising the ability of future generations to meet their own needs.
Which of the following is true of the circular flow model? | It treats economic growth as both the solution to all social ills and also as boundless.
Which of the following is true of the conservation movement? | It recommended a more restrained and prudent approach to the natural world.
Which of the following is true of the sustainability model in terms of environmental responsibilities? | Sustainability is a good risk management strategy.
Which of the following responsibilities entail an incentive to redesign products so that they can be recycled efficiently and easily? | Cradle-to-cradle
Which of the following should an organization do in order to have an effective compliance and ethics program? | The organization should communicate its standardsand procedures to all members.
Which of the following statements about manipulation would a strong believer of the principle-based ethical tradition most likely support? | Even unsuccessful manipulations are guilty of ethical wrong.
Which of the following statements about the doctrine of employment at will (EAW) is true? | The ethical rationale for EAW has both utilitarian and deontological elements.
Which of the following statements is true about whistleblowing? | It can occur both internally and externally.
Which of the following statements is true of the Committee of Sponsoring Organizations? | It describes control as encompassing those elements of an organization that, taken together, support people in the achievement of the organization's objectives.
Which of the following statements is true of the Sarbanes-Oxley Act? | It was passed by Congress because corporate boards failed to police themselves.
Which of the following traditions would support child labor if it produces better overall consequences than the available alternatives? | Utilitarianism
Which omission occurs when decision makers fail to notice gradual variations over time? | Change blindness
Which step in the ethical decision-making process occurs once you have considered how a decision affects stakeholders by comparing and weighing the alternatives? | Making a decision
With regard to health and safety at workplace, _____ can be defined as the probability of harm. | risks
With regard to health and safety at workplace, _____ can be determined by comparing the probabilities of harm involved in various activities. | relative risks
_____ is one element that distinguishes good people who make ethically responsible decisions from good people who do not. | Moral imagination
. "A critical element of this step in the ethical decision-making process will be the consideration of ways to mitigate, minimize, or compensate for any possible harmful consequences or to increase and promote beneficial consequences." Which step is this? | Comparing and weighing alternatives
. How does advertising distort the economy? | It creates irrational and trivial consumer wants.
. The impact of the ECPA is to punish electronic monitoring only by third parties and not by employers because courts have ruled that "interception" applies only: | to messages in transit.
._____ ensure the integrity and proper functioning of the economic, legal, or financial systems. | Gatekeeper functions
"We ought to stop at a red light, even if no cars are coming and I could get to my destination that much sooner." Identify the ethical approach that follows this line of thought. | Ethics of principles
3. Which of the following statements is true about ethical decision making in business? | Ethical decision making should rely on the personal values and principles of the individuals involved.
A consumer's consent to purchase a product is notinformed if that consumer is: | being misled or deceived about the product.
A professional is said to have _____ if he has a professional and ethical obligation to clients rooted in trust that overrides his personal interests. | fiduciary duties
According to Bazerman and Chugh, inattentional blindness results from _____. | focusing failures
According to Donaldson and Dunfee, the right to _____ is an example of a hypernorm. | physical movement
According to Kevin Bahr, which of the following is a cause for conflicts in the financial markets? | Self-regulation of the accounting profession
According to the COSO framework, which of the following is true of internal control? | It is affected by people at every level of an organization.
According to the economic model of corporate social responsibility, the pursuit of profit will continuously work toward the optimal satisfaction of consumer demand which, in one interpretation of _____is equivalent to maximizing the overall good. | utilitarianism
An effective internal mechanism of whistleblowing: | must allow confidentiality, if not anonymity.
An employer can resolve the concerns related to the "Hawthorne Effect" through: | random, anonymous monitoring.
An individual who argues that firms should be managed for the sole benefit of stockholders is defending the: | economic model of CSR.
An organization, in an attempt to avoid discrimination suits filed against it, intentionally hires a lot of African-American women, and a few disabled people. Which of the following is most likely to occur? | A white man or a woman will file a reverse discrimination suit.
Comparison of the probabilities of harm involved invarious activities would determine the _____. | relative risks
Consumers are vulnerable when they are not aware that they are subject to a marketing campaign. This type of campaign is called: | undercover marketing.
Dramatic examples from history, including Nazi Germany and apartheid in South Africa, demonstrate that: | one's ethical responsibility may run counter to the law.
During the process of downsizing, allowing a worker to remainin a position for a period of time once she or he has been notified of impending termination might not be the best option. Identify the correct justification for this statement. | Terminated workers may interpret early notice as an effort to get the most out of them before departure.
Enlightened self-interest, an important justification offered for corporate social responsibility, presumes that: | good ethics can also be good business.
Ethics requires that the promotion of human welfare be done: | in a manner that is acceptable and reasonable from all relevant points of view.
How is a market version of utilitarianism different from an administrative version? | The market version produces those goods that the consumers want.
Identify one of the implications of the "dependence effect." | By creating consumer wants, advertising and othermarketing practices violate consumer autonomy.
Identify the approach that allows the Occupational Safety and HealthAdministration (OSHA)to make trade offs between health and economics. | Feasibility approach
Identify the challenge faced by the acceptable risk approach to health and safety. | It ignores the fundamental deontological right an employee might have to a safe and healthy working environment.
Identify the correct statement about "bullying." | Bullying can lead to a complete loss of personal dignity, intimidation, and fear.
Identify the doctrine which holds that employers are free to fire an employee at any time and for any reason, unless an agreement specifies otherwise. | The doctrine of employment at will
Identify the gatekeepers who evaluate a company's financial prospects or credit worthiness, so that banks and investors can make informed decisions. | Analysts
Identify the most determinative element in integration, without which, there is no clarity of purpose, priorities, or process. | Communication
Identify the policy under which an employer refuses to hire or terminatesa worker whose spouse works at a competing firm. | Conflict-of-interest policy
Identify the situation prohibited by The Genetic Information Non-Discrimination Act of 2008 (GINA). | An employer releases genetic information about an employee to the human resource department differentiate among employees.
If we judge a leader solely by the results produced, we are following the _____ ethical tradition. | utilitarian
In some regions, employees lack even the most basic health and safety protections in their workplaces. Such work environments are termed as _____. | sweatshops
In the ethical decision-making process, identify the steps that might arise in reverse order, depending on the circumstances. | Determining the facts; identifying the ethical issues
In the ethical decision-making process, once one examines the facts and identifies the ethical issues involved, one should next _____. | identify the stakeholders
Jim resides in the vicinity of a steel manufacturing firm. Any changes in the pollution control or waste treatment policy of the firm indirectly affects Jim. In this sense, Jim is a(n) _____. | stakeholder
Knowing what the future must be, creative businesses then look backwards to the present and determine what must be done to arrive atthat future. This process is known as: | backcasting.
Labeling products with such terms as "environmentally friendly," "natural," "eco," "energy efficient," "biodegradable" and the like can help promote products that have little or no environmental benefits. This practice is known as: | greenwashing.
Legislators created a form of business called corporations because they thought that businesses could be more efficient in raising the capital necessary for producing goods, services, jobs, and wealth if: | individuals were protected by limiting the liability of individuals for business activities.
Section 201 of the Sarbanes-Oxley Act addresses the: | services outside the scope of auditors.
The _____ tradition claims that our fundamental human rights, and the duties that follow from them, are derived from our nature as free and rational beings. | Kantian
The 'Tripartite' part of the Tripartite Declaration of Principles Concerning Multinational Enterprises and Social Policy refers to critical cooperation necessary from all of the following except: | the suppliers and agents associated with the firm.
The concept of moral rights is central to the: | principle-based ethical tradition
The failure of personal ethics among companies like Enron and WorldCom led to the creation of the: | Sarbanes-Oxley Act.
The legal doctrine of strict liability is ethically controversial because: | it holds a business accountable for paying damages whether or not it was at fault.
The model of economy, in consistency with the second law of thermodynamics, implies that: | the amount of usable energy decreases over time.
The three major categories of an ethical framework are: | consequences, principles, and personal character.
The utilitarian tradition relies on _____ for deciding on the ethical legitimacy of alternative decisions. | social sciences
Two general and connected understandings of privacy have been identified: privacy as a right to be 'left alone' within a personal zone of solitude, and privacy as the: | right to control information about oneself.
Utilitarianism's fundamental insight is that we should decide what to do by: | considering the consequences of our actions.
What is the role of an ethical leader in corporate cultures? | A leader must clearly advocate and model ethical behavior.
What is the term used to describe a potentially damaging or ethically challenged corporate culture? | "Toxic" culture
Which ethical framework goes against the ethical principle of obeying certain duties or responsibilities, no matter the end result? | Utilitarian framework of ethics
Which of the following acts stipulates that employers cannot use"protected health information" in making employment decisions without priorconsent? | The Health Insurance Portability and Accountability Act
Which of the following affirmative action plans would include training plans and programs, focused recruiting activity, or the elimination of discrimination? | Voluntary affirmative action
Which of the following approaches shifts the focus from questions about what a person should do, to a focus on who that person is? | Virtue ethics
Which of the following are underlying beliefs that cause us to act or to decide one way rather than another? | Values
Which of the following best describes a business stakeholder? | Anyone who affects or is affected by decisions made within a firm
Which of the following causes inadequacy in ad hoc attempts—internalizing external costs and assigning property rights to unowned goods such as wild species—to repair market failures? | The first-generation problem
Which of the following cognitive barriers, when used, might appear to relieve us of accountability for the decision, even if it may not be the best possible decision? | Using a simple decision rule
Which of the following COSO elements provides assessment capabilities and uncovers vulnerabilities? | Ongoing monitoring
Which of the following cultures will empower legal counsel and audit offices to mandate and to monitor conformity with the law and with internal codes? | Compliance-based culture
Which of the following duties of board members suggests that conflicts of interest are always to be resolved in favor of the corporation? | Duty of loyalty
Which of the following elements distinguish good people who make ethically responsible decisions from good people who do not? | Moral imagination
Which of the following elements of COSO sets the tone or culture of a firm? | Control environment
Which of the following ethical approaches binds us to act or decide in certain ways? | Principle-based ethics
Which of the following explains the term "satisficing?" | Selecting the alternative that meets minimum decision criteria
Which of the following is a traditional approach to corporate culture? | Compliance-based
Which of the following is an advantage of monitoring? | Monitoring allows to ensure effective performance by preventing the loss of productivity to inappropriate technology use.
Which of the following is an example of an institutional role? | Teacher
Which of the following is involved in environmental problems according to the market-based approach to resolving environmental challenges? | Allocation and distribution of limited resources
Which of the following is the most demanding social responsibility? | A business should not sell a product that causes harm to consumers.
Which of the following is true about culture? | Perception may actually impact the culture in a circular way.
Which of the following is true about ethical leaders? | They expect others to say no to them.
Which of the following is true about value-based cultures? | These cultures are perceived to be more flexible and far-sighted corporate environments.
Which of the following is true about values? | Values are underlying beliefs that cause us to act or to decide in a certain way.
Which of the following is true of inattentional blindness? | It results from focusing failures.
Which of the following models of corporate social responsibility considers business a citizen of the society that it operates in? | Social web model
Which of the following provisions of the Sarbanes-Oxley Actrequires lawyers to report concerns of wrongdoing if not addressed? | Section 307
Which of the following raises questions about justice, law, civic virtues, and political philosophy? | Social ethics
Which of the following refers to a policy or a program that tries to respond to instances of past discrimination by implementing proactive measures to ensure equal opportunity today? | Affirmative action
Which of the following statements is correct about the implied warranty of merchantability? | Many businesses issue a disclaimer of liability, or offer an expressed and limited warranty to limit their liability.
Which of the following statements is true about manipulation? | To manipulate something is to guide or direct its behavior.
Which of the following statements is true of conflicts of interests? | Excessive executive compensation involves conflicts of interests.
Which of the following statements is true of ethical cultures? | Employees are expected to act in responsible ways, even if the law does not require it.
Which of the following statements reflects the concept of normative myopia? | "I may have exaggerated the features of the product to get this sale. You knew how important this deal was for me."
Which of the following states in the U.S. requires employers to notify workers when they are being monitored? | Connecticut
Which of the following traditions is commonly identified with the rule of producing "the greatest good for the greatest number"? | Utilitarianism
Which of the following traditions seeks a full and detailed description of those character traits that would constitute a good and full human life? | Virtue ethics
Which of the following versions of corporate social responsibility suggests that the long-term financial well-being of every firm is directly tied to questions of how the firm both affects and is affected by the natural environment? | Sustainability
Which of the following was charged with developing recommendations for paths toward economic and social development that would not achieve short-term economic growth at the expense of long-term environmental andeconomic sustainability? | The Brundtland Commission
Which of the following would be advocated by the "administrative" version of utilitarianism? | Government regulation of business
Which of the following would hold a business liable for groundwater contamination caused by its products even years after they had been buried in a landfill? | "Cradle-to-grave" model