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Ethics and Business Ethics Quiz

Total questions: 22

Worksheet time: 11mins

Name
Class
Date
1.

What is ethics?

a)

beliefs about what is right or wrong

b)

Rules or standards governing a profession

c)

Elements of all of the above

2.

What is business ethics?

a)

behaviors by managers or employees.

b)

believing what's right for one person is wrong for another.

c)

conflicts of interest that develop between two co-workers.

3.

What is the primary focus of corporate social responsibility?

a)

Maximizing shareholder profits

b)

Ensuring ethical practices and community welfare

c)

Increasing market share

4.

Which of the following best describes a conflict of interest?

a)

A situation where personal interests could influence professional decisions

b)

A disagreement between two employees

c)

A difference in opinion on business strategy

5.

What is the role of a code of ethics in a professional setting?

a)

To provide guidelines for acceptable behavior

b)

To increase company profits

c)

To eliminate competition

6.

What is the primary purpose of corporate social responsibility (CSR)?

a)

To increase company profits

b)

To ensure compliance with government regulations

c)

To contribute positively to society and the environment

7.

Which of the following is an example of ethical leadership?

a)

Making decisions based solely on financial gain

b)

Encouraging transparency and accountability

c)

Prioritizing personal relationships over company policy

8.

What is a whistleblower?

a)

An employee who reports unethical or illegal activities within the organization

b)

A manager who enforces company policies

c)

A consultant hired to improve business processes

9.

What is a Sole proprietorship?

a)
A sole proprietorship is a business owned by multiple partners.
b)
A sole proprietorship is a business owned and run by one person, where there is no legal distinction between the owner and the business.
c)
A sole proprietorship is a corporation with shareholders.
d)
A sole proprietorship is a government-run business.
10.

What is a partnership?

a)
A partnership is a form of government organization that manages public services.
b)
A partnership is a legal document that outlines employee benefits.
c)
A partnership is a business arrangement between two or more individuals who share ownership and management responsibilities.
d)
A partnership is a type of loan agreement between two parties.
11.

The first step in the simplified three-step model for applying ethical judgments to situations that may arise during the course of business activities is to

a)

determine the norms that relate to the situation.

b)

determine the most appropriate moral values.

c)

gather the relevant factual information.

d)

determine the implications of breaching the activity or policy.

12.

What is collateral?

a)
Collateral is a type of insurance policy.
b)
Collateral is a form of interest rate.
c)
Collateral is a government grant for businesses.
d)
Collateral is an asset pledged by a borrower to secure a loan.
13.

What is selling shares of stock in a company for the first time to a general investing public called?

a)
Initial Public Offering (IPO)
b)
Private Placement
c)
Secondary Market Offering
d)
Stock Buyback
14.

A share of ownership in a corporation is referred to as

a)
dividend
b)
stock
c)
bond
d)
equity
15.

Which of the following is a business considered by law to be a legal entity separate from its owners with many of the legal rights and privileges of a person?

a)
Sole Proprietorship
b)
Partnership
c)
Limited Liability Company
d)
Corporation
16.

A business is normally at its riskiest point during the ________ phase.

a)
growth
b)
maturity
c)
decline
d)
startup
17.

Venture capitalists

a)
Individuals who only invest in established companies.
b)

invest funds from professionally managed pools of investor money.

c)
Advisors who help startups without any financial investment.
18.

Entrepreneurs often have more than one goal for starting a business and becoming self-employed. Which of the following reasons is probably the least common goal of entrepreneurs?

a)

to earn a comfortable living

b)

to meet community and social status

c)
Maximizing profit margins
d)
Building a large corporate team
19.

A document that a firm uses to influence an individual's ethical behavior

a)
Corporate policy
b)
Code of ethics
c)
Employee handbook
d)
Ethical guidelines
20.

A disadvantage of a corporation

a)
Double taxation
b)
Access to capital markets
c)
Easy transfer of ownership
d)
Limited liability
21.

Sarah is a marketing manager for a tech company. A month ago, she attended an exclusive conference sponsored by one of her key vendors, who covered all her expenses. Now, that vendor is encouraging Sarah to consider a larger contract with them for the upcoming project. Sarah feels a sense of obligation to comply because of the conference she attended. Sarah is involved in ...

a)
a professional development course
b)
a marketing strategy
c)
a conflict of interest
d)
a networking opportunity
22.

What is the difference between illegal behaviour and unethical behaviour?

a)
Illegal behavior is against the law, while unethical behavior is against moral principles.
b)
Unethical behavior is always illegal.
c)
Illegal behavior is a personal choice, while unethical behavior is a legal issue.
d)
Illegal behavior is always unethical.