ETHICS_CHP1

Which of the following best defines ethics, according to the Sarbanes-Oxley Act (2002)?

• A set of financial regulations for public companies

• The rules of conduct in a legal system

• The study and philosophy of human conduct, with an emphasis on determining right and wrong

• The enforcement of corporate tax compliance

According to Dan W. Brock (1977), moral philosophy involves:

• Creating standard operating procedures for companies

• Promoting customer satisfaction in professional settings

• Writing legal codes for ethical business behavior

• Inquiry into the nature and grounds of morality, including moral judgments, standards, and rules of conduct

What is the term defined as “the study of the general nature of morals and of specific moral choices; moral philosophy; and the rules or standards governing the conduct of the members of a profession”, according to The American Heritage Dictionary (2023)?

• Professionalism

• Law

• Business conduct

• Ethics

According to the Business Graduate Association (2024), business ethics refers to:

• The principles, values, and standards that guide behavior in the world of business

• Personal values unrelated to work

• Employee motivation strategies

• Legal obligations required by corporations

Which of the following best describes the economic responsibility in social responsibility?

• Avoiding legal action and following the law

• Making profits and satisfying the needs of investors

• Supporting local charities and fundraising events

• Promoting diversity in hiring practices

What does philanthropic responsibility in social responsibility refer to?

• Required actions enforced by the legal system

• Activities that focus only on customer satisfaction

• Expected business practices that avoid harm

• Desired actions that involve doing good deeds for society

What is the main goal of corporate social responsibility (CSR)?

• To follow government tax rules

• To maximize positive effects and minimize negative effects on society

• To promote the company’s brand on social media

• To reduce business costs only

What is an example of accounting fraud?

• An employee shares good company news on social media

• A company hides its debts to appear more profitable

• A customer files a false complaint to get a refund

• 
  A supplier delivers goods late without informing the company

Which of the following is an example of insider trading?

• An investor buys stocks after reading about a company's success in the news

• An employee sells all their shares before the company’s bankruptcy is publicly announced

• A broker suggests buying stocks to clients

• A person buys shares randomly hoping to profit

What best describes deceptive advertising?

• Selling products at a lower price than competitors

• Offering a product in new packaging

• Making false claims about a product’s effects to attract buyers

• Advertising through social media only