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CHAPTER 4 TEST:Social Responsibility & Business Ethics

Total questions: 48

Worksheet time: 43mins

Name
Class
Date
1.

The major challenge facing businesses today involves learning how to manage a workforce made up of the diverse cultures in society.

a)

True

b)

False

2.

Socially responsible actions benefit employees and the community while costing the company nothing.

a)

True

b)

False

3.

Top management has little impact on the ethical conduct of a business.

a)

True

b)

False

4.

Government plays a role in all economic systems.

a)

True

b)

False

5.

Larry’s Trucking Company is located in Columbus, Ohio. The company delivers products to its sole customer, a factory in Toledo, Ohio, twice every day. Both the State of Ohio and the federal government are responsible for regulating the business actions of Larry’s Trucking Company.

a)

True

b)

False

6.

All written contracts are legal.

a)

True

b)

False

7.

If you write an original song, your work can be protected with a copyright.

a)

True

b)

False

8.

A public utility company is a company that is owned by the government.

a)

True

b)

False

9.

Information the government collects in a census can help a business decide where most of its potential customers live.

a)

True

b)

False

10.

Government is the single largest employer in the U.S. economy.

a)

True

b)

False

11.

All of the following are nonrenewable resources EXCEPT

a)

lumber.

b)

coal.

c)

oil.

d)

gas.

12.

The Age Discrimination in Employment Act protects all persons aged ____________________ and older from employers who attempt to use age as a basis for employment decisions.

a)

60

b)

40

c)

30

d)

50

13.

____________________ are principles of morality or rules of conduct.

a)

Customs

b)

Traditions

c)

Cultures

d)

Ethics

14.

If a company has a code of ethics,

a)

employees will always know how to behave under all circumstances.

b)

the company will more easily be able to identify proper employee behavior.

c)

it should be worded in such a way as to stress forbidden actions rather than acceptable behavior.

d)

all of the above are true.

15.

Which question should you NOT ask yourself when considering the ethics of a business situation?

a)

Is the action legal?

b)

Who is affected by the action?

c)

Does the action violate professional standards?

d)

Can I get away with this action?

16.

Government is mainly concerned with all of the following roles EXCEPT

a)

making a profit.

b)

regulating utilities.

c)

hiring public employees.

d)

providing services to citizens.

17.

In the United States, police and fire protection is usually provided by

a)

large corporations.

b)

the federal government.

c)

the state government.

d)

the local government.

18.

Valid, enforceable contracts must contain consideration, which is defined as

a)

the requirement that those entering into the contract must be of legal age and mentally competent.

b)

something of measurable value that must be exchanged by the parties involved.

c)

wording that is kind and unobjectionable to the parties involved.

d)

the requirement that the contract must be for a product or service that may be legally sold.

19.

A patent gives an inventor of a new product the sole right to make, use, or sell the item for

a)

50 years.

b)

20 years.

c)

7 years.

d)

25 years.

20.

Which of the following is a copyright symbol?

a)

b)

â

c)

©

d)

All of the above are types of copyright symbols.

21.

Which of the following is a way the United States government gets involved in business activities?

a)

It attempts to prevent unfair business practices.

b)

It orders certain people to take specific jobs.

c)

It owns almost all of the factors of production.

d)

It tells all businesses what they should produce and what they can charge their customers.

22.

Which of the following would NOT be considered a utility company?

a)

a telephone company

b)

an electric company

c)

a gas station

d)

a water works

23.

Suppose one company owned all of the grocery stores in your state. This situation would constitute a(n)

a)

monopoly.

b)

competitive environment.

c)

cartel.

d)

union.

24.

Antitrust laws protect consumers from all of the following EXCEPT

a)

deceptive packaging.

b)

public utilities.

c)

false advertising.

d)

misleading labeling.

25.

In the United States, total government purchases of goods and services make up about ____________________ percent of all the goods and services the country produces.

a)

32

b)

75

c)

12

d)

50

26.

About how many American workers are public employees?

a)

16 percent

b)

22 percent

c)

9 percent

d)

29 percent

27.

The largest source of revenue for the federal government is the

a)

corporate income tax.

b)

individual income tax.

c)

luxury tax.

d)

inheritance tax.

28.

Property tax revenue is used to pay for all of the following EXCEPT

a)

Medicare and Medicaid.

b)

community parks.

c)

schools.

d)

police protection.

29.

A state or local tax on goods and services that is collected by the seller is called a

a)

income tax.

b)

property tax.

c)

sales tax.

d)

gift tax.

30.

Governments borrow money by selling

a)

stock.

b)

bonds.

c)

promissory notes.

d)

all of the above.

31.

Saving scarce natural resources is called (a)   .

32.

When the by-products of human actions taint the environment, (a)   occurs.

33.

In the United States, work safety standards are regulated and enforced by the (a)   Safety and Health Administration.

34.

Business (a)   are rules about how businesses and their employees ought to behave.

35.

A(n) (a)   of interest occurs when an action by a company or individual results in an unfair benefit.

36.

Business dealings involving companies in more than one state is (a)   commerce.

37.

A(n) (a)   is an agreement to exchange goods or services for something of value.

38.

A valid contract must contain (a)   : an offer must be made, and an acceptance must occur.

39.

A(n) (a)   protects the creative work of authors, composers, and artists.

40.

A word, letter, or symbol linked with a specific company or product is a(n) (a)   .

41.

A public (a)   is an organization that supplies a service or product vital to all people.

42.

A(n) (a)   exists when a business has control of the market for a product or service.

43.

Government income is called (a)   .

44.

A tax that is based on the value of land and buildings is a(n) (a)   tax.

45.

What is social responsibility? Name at least two broad categories of social responsibility.

4 lines
46.

What is the difference between interstate commerce and intrastate commerce?

4 lines
47.

What is intellectual property? Give three examples of intellectual property.

4 lines
48.

Name at least three sources of government revenue.

4 lines