Ethical Obligations and Decision-Making in Accounting: Text and Cases,
6th Edition
by Mintz and Miller
TEST BANK
1
,TABLE OF CONTENT
Chapter 1: Ethical Reasoning: Implications for Accounting
Chapter 2: Cognitive Processes and Ethical Decision Making in Accounting
Chapter 3: Organizational Ethics and Corporate Governance
Chapter 4: AICPA Code of Professional Conduct
Chapter 5: Fraud in Financial Statements and Auditor Responsibilities
Chapter 6: Motivation for Fraudulent Financial Reporting
Chapter 7: Consequences of Earnings Management: The Need for Ethical Leadership in Accounting
Chapter 8: Auditors’ Legal Liabilities and Defenses
2
,Chapter 01 6e Mintz Answers Included ✅
MULTIPLE CHOICE - Choose the one alternative that best completes the statement or
answers the question.
1) What is the common characteristic of Aristotle's virtues and ethical standards for CPAs?
A) truthfulness
B) integrity
C) loyalty
D) due care
2) Jane finds a material misstatement while auditing a client's accounts receivables. Her
senior tells her to ignore the misstatement so that the client does not get upset. Jane wants to be
viewed as a team player in order to advance in the firm, so Jane follows her senior's instructions
and ignores the misstatement. Which ethical theory did Jane use to make her decision?
A) egoism
B) justice
C) virtue ethics
D) utilitarianism
3) Which of the following situations would be considered ethical?
A) The cashier at Wal-Mart gives you $5 more than you were supposed to receive and
you don't do anything about it.
B) You accidentally back into a car at Wal-Mart and leave your information for them to
call.
C) You receive fake $20 bills and use them in a store while knowing they are fake.
D) You find a phone in a restaurant and keep it.
4) Which of the following characteristics does not describe the importance of integrity in
decision making?
3
, A) Acting out of moral principle
V V V V
B) Being loyal to one's superior
V V V V
C) Having the courage to do the right thing
V V V V V V V
D) Not subordinating professional judgment to others
V V V V V
5) Which of the following characteristics does not describe the behavior of Cynthia
V V V V V V V V V V V
Cooper in the WorldCom fraud?
V V V V V
A) persistence
B) competence
C) integrity
D) conformity
6) The ancient Greeks thought of the virtues as characteristics of behavior that
V V V V V V V V V V V
A) could lead to a good life.
V V V V V
B) make up the "six pillars of character".
V V V V V V
C) support the rights theory.V V V
D) rationalize unethical actions. V V
7) Which of the following elements does not make up an integral part of what is meant
V V V V V V V V V V V V V V V
by "ethics"?
V V
A) accepted standards of behaviorV V V
B) knowing the difference between right and wrong
V V V V V V
C) always following the law
V V V
D) the moral point of view
V V V V
8) Ethical relativism can best be described as
V V V V V V
4
6th Edition
by Mintz and Miller
TEST BANK
1
,TABLE OF CONTENT
Chapter 1: Ethical Reasoning: Implications for Accounting
Chapter 2: Cognitive Processes and Ethical Decision Making in Accounting
Chapter 3: Organizational Ethics and Corporate Governance
Chapter 4: AICPA Code of Professional Conduct
Chapter 5: Fraud in Financial Statements and Auditor Responsibilities
Chapter 6: Motivation for Fraudulent Financial Reporting
Chapter 7: Consequences of Earnings Management: The Need for Ethical Leadership in Accounting
Chapter 8: Auditors’ Legal Liabilities and Defenses
2
,Chapter 01 6e Mintz Answers Included ✅
MULTIPLE CHOICE - Choose the one alternative that best completes the statement or
answers the question.
1) What is the common characteristic of Aristotle's virtues and ethical standards for CPAs?
A) truthfulness
B) integrity
C) loyalty
D) due care
2) Jane finds a material misstatement while auditing a client's accounts receivables. Her
senior tells her to ignore the misstatement so that the client does not get upset. Jane wants to be
viewed as a team player in order to advance in the firm, so Jane follows her senior's instructions
and ignores the misstatement. Which ethical theory did Jane use to make her decision?
A) egoism
B) justice
C) virtue ethics
D) utilitarianism
3) Which of the following situations would be considered ethical?
A) The cashier at Wal-Mart gives you $5 more than you were supposed to receive and
you don't do anything about it.
B) You accidentally back into a car at Wal-Mart and leave your information for them to
call.
C) You receive fake $20 bills and use them in a store while knowing they are fake.
D) You find a phone in a restaurant and keep it.
4) Which of the following characteristics does not describe the importance of integrity in
decision making?
3
, A) Acting out of moral principle
V V V V
B) Being loyal to one's superior
V V V V
C) Having the courage to do the right thing
V V V V V V V
D) Not subordinating professional judgment to others
V V V V V
5) Which of the following characteristics does not describe the behavior of Cynthia
V V V V V V V V V V V
Cooper in the WorldCom fraud?
V V V V V
A) persistence
B) competence
C) integrity
D) conformity
6) The ancient Greeks thought of the virtues as characteristics of behavior that
V V V V V V V V V V V
A) could lead to a good life.
V V V V V
B) make up the "six pillars of character".
V V V V V V
C) support the rights theory.V V V
D) rationalize unethical actions. V V
7) Which of the following elements does not make up an integral part of what is meant
V V V V V V V V V V V V V V V
by "ethics"?
V V
A) accepted standards of behaviorV V V
B) knowing the difference between right and wrong
V V V V V V
C) always following the law
V V V
D) the moral point of view
V V V V
8) Ethical relativism can best be described as
V V V V V V
4
