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The ethicalness of an action is determined by the number of people who take the action.
a.
False
b.
True
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Question 2
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Business ethics should be applied as a separate set of moral standards or ethical concepts from
general ethics.
a.
False
b.
True
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The quality by which the pursuit of one value is a good way to reach another value is known as
_____.
a.
extrinsic norm
b.
traditional norm
c.
instrumental value
d.
intrinsic value
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"Do unto others as you would have them do unto you" explains the _____.
a.
Rule of rescue
b.
simple truth
c.
virtue ethics
d.
Golden Rule
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15. All CSR initiatives invariably generate immediate financial gains to the organization after
implementation.
a.
True
b.
False
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22. The term "_____" is best defined as the actions of an organization that are targeted toward
achieving a social benefit over and above maximizing profits for its shareholders and meeting all
its legal obligations.
a.
value ethics
b.
corporate conscience
c.
corporate aggressiveness
d.
virtue ethics
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21. Which of the following statements is true of whistle-blowers?
a.
They are often criticized and considered troublemakers.
b.
They seldom harm anybody with their decision to speak out.
c.
They are individuals who typically have low levels of integrity.
d.
They are universally lauded for their decision to speak out.
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a.
True
b.
False
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Question 9
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7. Friedman's view of the corporate world supports the rights of individuals to make money with
their investments.
a.
True
b.
False
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23. Which of the following is an example of corporate social responsibility (CSR)?
a.
Dawson Inc. uses a clean-fuel technology shuttle for employee conveyance.
b.
Larsen Inc. provides free lunch coupons to its employees.
c.
Infinite Corp. promotes team building activities for employees.
d.
Brenner Enterprises gives its employees greater freedom in choosing projects.
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4. The employees of Brennerz Inc. are encouraged to cycle to work every day to reduce
environmental pollution. The given scenario exemplifies corporate ethics.
a.
False
b.
True
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Corporate governance is the system by which businesses are directed and controlled.
a.
True
b.
False
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Ethics for the greater good or _____ is an approach more focused on the outcome of one's
actions rather than the apparent virtue of the actions themselves.
a.
utilitarianism
b.
worldcentrism
c.
normative ethics
d.
virtue ethics
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According to the Ethics Resource Center, an organization's cornerstones include its missions,
values, and principles.
a.
True
b.
False
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28. According to the _____ to management, by recognizing stakeholders and not just
shareholders, corporations must maintain a long-term perspective rather than simply delivering
quarterly earnings numbers.
a.
instrumental approach
b.
Kantian approach
c.
virtue approach
d.
social contract approach
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In the context of _____, actions are taken out of duty and obligation to a purely moral ideal
rather than based on the needs of a situation.
a.
deontological ethics
b.
reductionist ethics
c.
universal ethics
d.
normative ethics
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a.
False
b.
True
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Question 18
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23. A qui tam lawsuit is a lawsuit brought on behalf of the federal government by a whistle-
blower under the _____ of 1863.
a.
Foreign Corrupt Practices Act
b.
Civil False Claims Act
c.
Fair Employment Practice Act
d.
Civil Liberties Act
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Which of the following questions is identified by Arthur Dobrin to resolve an ethical dilemma?
a.
What do your feelings tell you?
b.
What will people think of you if you don't find a solution?
c.
What can be done to resolve the problem?
d.
What are the alternatives?
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An organization's code of ethics does not pertain to the everyday functioning of its managers and
employees.
a.
True
b.
False
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24. Happy Times (HT) is an alcohol manufacturing brand that deals with several types of
alcoholic beverages. HT uses social media for promoting the message of responsible drinking. It
sponsors the FreeTaxi program for customers with HT membership on Christmas and New
Year's Eve. It has also initiated several community welfare projects where a percentage of the
profits go to the Hunger Relief Fund for Children. In the given scenario, which of the following
is best illustrated?
a.
Universal ethics
b.
Corporate citizenship
c.
Emotional contagion
d.
Ethical ambiguity
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17. An employee can anonymously alert a company of suspected misconduct within the
organization using the whistle-blower hotline.
a.
False
b.
True
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The problem with a utilitarian approach to ethics is:
a.
that societies can place different emphasis on different virtues.
b.
the differing attitudes of various societies to the Golden Rule.
c.
that not everyone is committed to doing the right thing.
d.
the idea that the ends justify the means.
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The stage in which an individual is focused on self-chosen ethical principles found to be
comprehensive and consistent is _____.
a.
"good boy/nice girl" ethical orientation
b.
universal ethical principle orientation
c.
obedience and punishment orientation
d.
law-and-order orientation
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In the context of ethical theories, a challenge takes the form of a dilemma in which the decision
one must make requires one to make a right choice knowing full well that one is:
a.
adopting an ethical value of one's community or society in making that choice.
b.
not leaving an equally right choice undone.
c.
not likely to suffer something bad as a result of that choice.
d.
contradicting a personal ethical principle in making that choice.
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Utilizing the rules-based principle to resolve an ethical dilemma necessitates considering which
decision would provide the greatest good for the greatest number of people.

a.
False
b.
True
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Question 27
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Alison Anderson, the CEO of Anderson Inc., laid the foundation for an apt professional behavior
in her workplace. She is honest, aware, and sensitive and is considered a role model by young
entrepreneurs. Which of the following basic categories of ethics is depicted in this scenario?
a.
Simple truth
b.
Personal integrity
c.
Rules of differentiation
d.
Rules of appropriate behavior for a community or society
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19. One of the newest and increasingly questionable practices in the world of corporate social
responsibility (CSR) is the notion of making operations "carbon neutral."
a.
False
b.
True
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Question 29
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a.
False
b.
True
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10. Layoffs reduce corporation costs and only affect the laid-off employees.
a.
True
b.
False
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The Greek philosopher Aristotle's belief in individual character and integrity established the
concept of _____.
a.
philosophical ethics
b.
ethical relativism
c.
virtue ethics
d.
utilitarianism
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Question 32
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1. Corporate ethics refers to the actions of an organization that are targeted toward achieving a
social benefit over and above maximizing profits for its shareholders and meeting all its legal
obligations.
a.
False
b.
True
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Question 33
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By its very definition, a(n) _____ cannot really be resolved in the sense that a resolution of the
problem implies a satisfactory answer to the problem.
a.
unscrupulous choice
b.
deontological problem
c.
fairness dilemma
d.
ethical dilemma
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Question 34
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a.
False
b.
True
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Once the type of a particular ethical conflict has been determined, there are two principles
through which it can be resolved: Volcker's Rule and Campbell's Rule.
a.
True
b.
False
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26. The Whistleblower Protection Act of 1989 guaranteed the anonymity of the whistle-blower
unless:
a.
the individual is a federal employee.
b.
the individual is an immigrant.
c.
revealing the name would attract huge media attention.
d.
revealing the name would protect public safety.
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Question 37
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Universal ethics argues that:
a.
societies can place different emphasis on different virtues.
b.
universal principles may not apply to everyone, everywhere, all the time.
c.
everyone is committed to doing the right thing.
d.
there are certain principles that should apply to all ethical judgments.
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6. Instrumental approach to corporate management is the perspective that a corporation has an
obligation to society over and above the expectations of its shareholders.
a.
True
b.
False
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16. The Sarbanes-Oxley Act of 2002 not only prohibits retaliation against whistle-blowers but
also encourages the act of whistle-blowing itself.
a.
False
b.
True
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Question 40
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A stakeholder is someone with a share or interest in a business enterprise.
a.
False
b.
True
Question 41
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9. Henry Ford II recognized the fact that corporations operate in an isolated environment.
a.
False
b.
True
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Over the last five decades, corporate ethics has shifted from the organizational mainstream into
the domain of legal and human resource departments.

a.
True
b.
False
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Which of the following is one of the four basic categories of ethics?
a.
Personal integrity
b.
Psychological behaviorism
c.
Stretched truth
d.
Rules of differentiation
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The interests of the creditors of an organization focus specifically on the employment of local
residents and the safety of the work environment.
a.
True
b.
False
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The belief that an activity is safe because it will never be found out or publicized is one of the
commonly held rationalizations, identified by Saul Gellerman, which can lead to unethical
behavior.
a.
True
b.
False
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10. The False Claims Act was amended in 1986 to make the penalization for whistle-blowers
stiffer.
a.
False
b.
True
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The basic assumption of ethical theory is that:
a.
everyone is committed to doing the right thing.
b.
a person as an individual or community is in control of all the factors that influence the choices
he or she makes.
c.
an individual's pursuit of an ethical ideal should match others' ethical ideals to avoid trouble.
d.
individuals share similar standards in a community.
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When trying to resolve an ethical dilemma, the Golden Rule principle considers only the legal
aspects of the problem.
a.
False
b.
True
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According to the concept of _____, the traditions of one's society, one's personal opinions, and
the circumstances of the present moment define one's ethical principles.
a.
utilitarianism
b.
universal ethics
c.
normative ethics
d.
ethical relativism
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The issue of corporate social responsibility has advanced from an abstract debate to a core
performance-assessment issue with clearly established legal liabilities.
a.
False
b.
True

ANSWER
1F
2F
3C
4D
5F
6B
7A
8F
9T
10A
11F
12T
13A
14T
15D
16C
17B
18B
19A
20F