ACADEMIC STUDY MATERIAL
[Test Bank Business and Professional
Ethics 10th Edition By Leonard Brooks,
Paul Dunn]
________________________________
TEST BANK
Academic Study Resource
,
, Table of Contacts
1. Ethics Expectations
2. Ethics & Governance Scandals
3. Ethical Behavior—Philosophers’ Contributions
4. Practical Ethical Decision Making
5. Corporate Ethical Governance & Accountability
6. Professional Accounting in the Public Interest
7. Managing Ethics Risks & Opportunities
, Chapter 1 - Ethics Expectations
1. The difference between what the public thinks it is getting in audited financial statements and what the public is
actually getting is known as:
a. The credibility gap.
b. The expectations gap.
c. The audit gap.
d. The stewardship gap.
e. None of these.
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
REFERENCES: The Ethics Environment for Business: The Battle for Credibility, Reputation, &
Competitive Advantage
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: BRK.27.01.01 - Describe current ethics expectations.
KEYWORDS: Bloom’s: Remember
DATE CREATED: 12/26/2025 11:38 PM
DATE MODIFIED: 12/30/2025 1:34 PM
2. Which of the following is not a trend described in Chapter 1 as having an impact on the ethics of business?
a. Directors’ legal liability.
b. Management’s stated intention to protect reputation.
c. Auditors’ legal liability.
d. Management’s assertions to shareholders on the adequacy of internal controls.
e. Management’s stated intention to manage risk.
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
REFERENCES: The Ethics Environment for Business: The Battle for Credibility, Reputation, &
Competitive Advantage
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: BRK.27.01.03 - Explain the importance of accountability to stakeholders
KEYWORDS: Bloom’s: Remember
DATE CREATED: 12/26/2025 11:42 PM
DATE MODIFIED: 12/26/2025 11:45 PM
Page 1
[Test Bank Business and Professional
Ethics 10th Edition By Leonard Brooks,
Paul Dunn]
________________________________
TEST BANK
Academic Study Resource
,
, Table of Contacts
1. Ethics Expectations
2. Ethics & Governance Scandals
3. Ethical Behavior—Philosophers’ Contributions
4. Practical Ethical Decision Making
5. Corporate Ethical Governance & Accountability
6. Professional Accounting in the Public Interest
7. Managing Ethics Risks & Opportunities
, Chapter 1 - Ethics Expectations
1. The difference between what the public thinks it is getting in audited financial statements and what the public is
actually getting is known as:
a. The credibility gap.
b. The expectations gap.
c. The audit gap.
d. The stewardship gap.
e. None of these.
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
REFERENCES: The Ethics Environment for Business: The Battle for Credibility, Reputation, &
Competitive Advantage
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: BRK.27.01.01 - Describe current ethics expectations.
KEYWORDS: Bloom’s: Remember
DATE CREATED: 12/26/2025 11:38 PM
DATE MODIFIED: 12/30/2025 1:34 PM
2. Which of the following is not a trend described in Chapter 1 as having an impact on the ethics of business?
a. Directors’ legal liability.
b. Management’s stated intention to protect reputation.
c. Auditors’ legal liability.
d. Management’s assertions to shareholders on the adequacy of internal controls.
e. Management’s stated intention to manage risk.
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
REFERENCES: The Ethics Environment for Business: The Battle for Credibility, Reputation, &
Competitive Advantage
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVES: BRK.27.01.03 - Explain the importance of accountability to stakeholders
KEYWORDS: Bloom’s: Remember
DATE CREATED: 12/26/2025 11:42 PM
DATE MODIFIED: 12/26/2025 11:45 PM
Page 1
