Ethics And Social Responsibility

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Question 1
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Stockholders seek to maximize the return on their investment and therefore show interest in the ethical practices of a company.

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Question 2
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Stakeholders benefit in the long run if companies make the right choices.

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Question 3
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Under the moral rights rule, an ethical decision is one that distributes benefits and harms among people and groups in an equitable way.

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Question 4
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From a moral rights perspective, managers should consider courses of action that respect the fundamental rights of others.

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Question 5
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Decisions that managers take to protect the rights of some stakeholders often hurt the rights of others.

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Question 6
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"An ethical decision is one that a typical person in a society would think is acceptable" is a statement that reflects the practical rule.

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Question 7
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Jim is comfortable with his decision and would have no problem with people reading about it on the front page of a morning paper.This indicates that he is following the practical rule.

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Question 8
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When one person starts to profit by behaving unethically, it encourages other people to act in the same way.

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Question 9
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Websites that allow free downloading of songs and movies illustrate the "tragedy of the commons" because there is pursuit of self-interest with no consideration for societal interest.

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Question 10
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Organizational ethics are the standards that govern how members of a profession should conduct themselves.

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Question 11
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Organizational ethics are the way a company's managers view their duty to make decisions that enhance the well-being of stakeholders.

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Question 12
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People typically confront ethical issues when weighing their personal interests against the effects of their actions on others.

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Question 13
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If a company's top managers consistently endorse the ethical principles in its corporate credo, they can prevent employees from going astray.

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Question 14
Multiple Choice

Dianna has witnessed her manager harassing a coworker on multiple occasions.Dianna knows that she should report the incidents to a superior manager, but she is hesitant to report the inappropriate behavior because she thinks she could lose her job.This example illustrates a(n)

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A
justice rule.
B
ethical dilemma.
C
moral dilemma.
D
utilitarian rule.
E
moral rights rule.
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Question 15
Multiple Choice

_____ are the moral principles and beliefs about what is the right or appropriate way to behave.

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A
Societal norms
B
Laws and regulations
C
Ethics
D
Values and norms
E
Individual values
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Question 16
Multiple Choice

_____ are thoughts and feelings that tell people what is right or wrong.

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A
Moral scruples
B
Ethical dilemmas
C
Practical rules
D
Norms
E
Individual rights
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Question 17
Multiple Choice

Which of the following statements is true about ethics?

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A
Ethics and laws are fixed principles.
B
Ethical beliefs remain constant as time passes.
C
Laws change to reflect the changing ethical beliefs of a society.
D
Absolute and indisputable rules and principles can be developed to decide whether an action is ethical or unethical.
E
Ethics evolve over time, but laws related to ethical beliefs remain constant.
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Question 18
Multiple Choice

Which of the following statements is true about stockholders?

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A
They are often regarded as the most critical stakeholder group because if a company cannot attract them to buy its products, it cannot stay in business.
B
They are least interested in the company's profits.
C
They bear the responsibility to decide which goals an organization should pursue to most benefit stakeholders and how to make the most efficient use of resources to achieve those goals.
D
They are responsible for using a company's financial, capital, and human resources to increase its performance and thus its stock price.
E
They have a claim on a company because when they buy its stock or shares, they become its owners.
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Question 19
Multiple Choice

_____ watch the company and its managers closely to ensure that management is working diligently to increase the company's profitability.

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A
Community members
B
Suppliers
C
Stockholders
D
Customers
E
Distributors
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Question 20
Multiple Choice

_____ have the right to expect a good return or reward by investing their human capital to improve a company's performance.

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A
Customers
B
Distributors
C
Suppliers
D
Distributors
E
Managers
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