CFI CBCA PROFESSIONAL ETHICS UPDATED ACTUAL EXAM QUESTIONS CORRECT ANSWERS GRADED A PLUS

CFI CBCA PROFESSIONAL ETHICS UPDATED ACTUAL EXAM QUESTIONS CORRECT
ANSWERS GRADED A PLUS
CFI CBCA Professional Ethics Questions and
Answers Verified Solutions Latest Update 2026/2027

Question:
Learning Objectives

Answer:
-Explain why ethics matter within an organization Describe the elements of business ethics
Understanding the ethical culture of an organization -Apply professional ethics and the moral
principles of integrity Apply approaches to ethical decision making Utilize sources of ethical
guidance



Question:
Why Ethics Matter

Answer:
Recent Public Lapses in Ethical Standards Six companies that have had ethical lapses: Theranos
WeWork Boeing Volkswagon BP Wells Fargo For each of the organizations listed, research what
the ethical lapse was and what the resultant impact was on the company. How was the ethical lapse
discovered? What was the impact of that lapse on the company?



Question:
Theranos and WeWork

Answer:
-Charismatic but unethical leaders Unicorn companies Have a valuation of over $1BN during
startup



Question:
Theranos answers

Answer:

,• The claims made that the blood tests worked were false. Thousands of blood tests were inaccurate
and some cost people their lives. Whistleblower went to press. Theranos was dissolved in September
2018, and the lawsuits continue.



Question:
WeWork answers

Answer:
• Falsely inflated company value. CEO self-dealt in a number of different areas. Collapse of IPO.
CEO was fired and the company has been trying to recover its reputation and financial stability.



Question:
Beoing answers

Answer:
• Two Boeing MAX 737 crashes prompted full Federal Aviation Authority investigation. Leaked
incriminating documents showed that the MAX was known to be unsafe. However, Boeing chose
profitability over safety and put a poorly-designed, unsafe airplane into service. Stock price took a
sharp decline and may never recover.



Question:
BP answers

Answer:
• In 2005, an oil refinery explosion caused one of the principal investigators to write a book
("Failure to Learn") about the lack of safety culture over profits. In 2010, Deepwater Horizon
offshore oil rig explosion killed 11 workers and destroyed a significant portion of the Gulf Coast.
Stock price took a sharp decline. Paid billions in legal costs and fines.



Question:
Volkswagon answers

Answer:

, • European car manufacturer that wanted to enter the North American market. Installed a software
chip into cars to cheat emissions tests and advertised cars as "clean diesel." Accidentally discovered
by research students trying to replicate tests, and an insider revealed the reason. Paid over $30BN in
fines & legal fees, and many of their executives have received jail sentences.



Question:
Wells Fargo answers

Answer:
• US retail bank with an aggressive sales culture Defrauded their customers by selling unwanted
credit card accounts, opening unauthorized accounts, transferring funds from good accounts to
bad/unauthorized accounts, and making unauthorized credit inquiries. Complaints to the Consumer
Financial Protection Bureau and anonymous tips by employees to journalists helped uncover the
fraud.



Question:
A Measure of the World's Most Ethical Companies

Answer:
-In 2020, 132 companies in 21 countries were considered to be the world's most ethical companies.
-These companies outperform the large-cap index by 13.5%.



Question:
The Need for an Ethical Workplace

Answer:
"Companies that invest in ethics reap an enormous return. Better workplace ethics cuts business
risks by reducing the chance that serious ethics problems will throw companies off course and
distract them from their core business." Ethics Compliance Initiative CEO, Patricia Harned Lawsuits
Fines Penalties Jail time Company folded Lost trust Lives were lost



Question:
Maintain Your Own Ethical Integrity