Ethics in Business

Which of the following terms is defined as “conduct based on or authorized by law which is established by society to maintain order and protect people and property from harm?”

• Moral behavior

• Legal behavior

• Ethical behavior

• Mannerly behavior

A lawyer believes his client is guilty, but remains professional and represents his client. This is an example of which of the following?

• Moral behavior

• Unlawful behavior

• Ethical behavior

• Mannerly behavior

Anna owns a neighborhood bakery. She consults her accountant to make sure she pays proper taxes, uses good quality ingredients for her products, and provides her employees a safe working environment. Which of the following CANNOT be used to describe Anna’s actions?

• Moral behavior

• Legal behavior

• Ethical behavior

• Mannerly behavior

According to the American Management Association (AMA) and Human Resource Institute (HRI), what is the number one cause of unethical business conduct?

• Pressure of meeting a deadline

• Concern of losing a job

• Lack of ethical education

• Personal interests

Sometimes people in business will encounter a complex situation in which they have difficulty choosing between a moral and an immoral act. Which of the following terms can be used to describe such a situation?

• Unethical conduct

• Unlawful conduct

• Legal behavior

• Ethical dilemma

Which of the following best describes a business which takes effort to protect the environment and promotes using renewable resources?

• Creative business

• Reliable business

• Sustainable business

• Practical business

Steve lives in a neighborhood close to a waste water company. The company’s water solution will directly affect the water quality in Steve’s home. What is Steve’s relationship to the waste water company?

• Shareholder

• Stakeholder

• Customer

• Employee

Which of the following is the first step of the ethical decision-making process?

• Study the laws and regulations

• Review the code of ethics

• Identify the ethical problem

• List possible solutions

Which of the following is appropriate when evaluating the identified alternatives to an ethical decision?

• Focus on cost and profit issues

• Exclude personal perspectives

• Dismiss the opinions of affiliated parties

• Decide on a favorable solution in advance

Which of the following should a person NOT do during an ethical decision-making process?

• Review the company’s code of ethics

• Study laws and regulations of an industry

• Consider stakeholders’ interests

• Make a choice based on company’s profits