TEST BANK FOREthical Obligations and Decision-Making in Accounting: Text and Cases, 6th Edition by Mintz and Miller

Ethical Obligations and Decision-Making in Accounting: Text and Cases,
6th Edition
by Mintz and Miller




TEST BANK


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,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




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,Chapter01 6e Mintz U U U
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MULTIPLE CHOICE - Choose the one alternative that best completes the statement or
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answers the question.
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1) What is the common characteristic of Aristotle's virtues and ethical standards for CPAs?
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A) truthfulness
B) integrity
C) loyalty
D) due care U




2) Jane finds a material misstatement while auditing a client's accounts receivables. Her senior
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tells her to ignore the misstatement so that the client does not get upset. Jane wants to be viewed as a
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team player in order to advance in the firm, so Jane follows her senior's instructions and ignores the
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misstatement. Which ethical theory did Jane use to make her decision?
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A) egoism
B) justice
C) virtueethics U




D) utilitarianism



3) Which of the following situations would be considered ethical?
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A) The cashier at Wal-Mart gives you $5 more than you were supposed to receive and
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Uyou don't do anything about it.
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B) You accidentally back into a car at Wal-Mart and leave your information for them to
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call.
C) You receive fake $20 bills and use them in a store while knowing they are fake.
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D) You find a phone in a restaurant and keep it. U U U U U U U U U




4) Which of the following characteristics does not describe the importance of integrity in
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Udecisionmaking? U




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, A) Acting out of moral principle
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B) Being loyal to one's superior
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C) Having the courage to do the right thing
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D) Not subordinating professional judgment to others
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5) Which of the following characteristics does not describe the behavior of Cynthia Cooper in
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the WorldCom fraud?
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A) persistence
B) competence
C) integrity
D) conformity



6) The ancient Greeks thought of the virtues as characteristics of behavior that
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A) could lead to a good life.
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B) make up the "six pillars of character".
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C) support the rights theory. U U U




D) rationalizeunethicalactions. U U




7) Which of the following elements does not make up an integral part of what is meant by
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U"ethics"?

A) accepted standards of behavior U U U




B) knowing the difference between right and wrong
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C) always following the law U U U




D) the moral point of view
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8) Ethical relativism can best be described as
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