RSM100: Chapter 2-Business Ethics and
Social Responsibility Exam Questions and
Answers with Verified Solutions | Latest
Updated 2026
Ethics vs. Law Ethics reflects people's proper relations
with one
another and how people should treat
others.
Meanwhile, laws are more narrow and are
written
to protect us from fraud, theft and violence.
Business Ethics Business ethics are the standards of
conduct and
moral values that lead to our actions and
decisions
(wrong and right) in the business
environment.
What else do businesses need to Businesses also must consider a wide
consider? range of
social issues, including how a decision will
affect
the environment, employees, and
customers.
These issues come under and are the
heart of CSR
,Why are business ethics so Important for organizations that want to do
important? well
over the long term. They need to consider
it.
CSR and what is their main Corporate Social Responsibility
objective? CSR's primary objective is to enhance
society's
well-being through philosophies, policies,
procedures, and actions.
In other words, businesses must find a
balance
between doing what is right and doing
what is
profitable.
Who all should the movement Everyone: consumers, the environment,
towards CSR benefit? and the
companies themselves.
, Sarbanes-Oxley Act of 2002 In the U.S. this act established new rules
and
regulations for securities trading and
accounting
practices - to deter and punish corporate
and
accounting fraud and corruption.
- Companies are now required to publish
their
code of ethics, if they have one, and inform
the
public of any changes made to it.
- The law may actually motivate more firms
to
develop written codes and guidelines for
ethical
business behavior.
- Also designed to protect the interests of
workers
and shareholders. The act also established
a new
regulatory body for public accounting firms.
Ethics Compliance Officers They are responsible for conducting
employee
training programs that help spot potential
fraud
and abuse, investigating sexual
harassment and
discrimination charges, and monitoring
potential
conflicts of interest.
Social Responsibility Exam Questions and
Answers with Verified Solutions | Latest
Updated 2026
Ethics vs. Law Ethics reflects people's proper relations
with one
another and how people should treat
others.
Meanwhile, laws are more narrow and are
written
to protect us from fraud, theft and violence.
Business Ethics Business ethics are the standards of
conduct and
moral values that lead to our actions and
decisions
(wrong and right) in the business
environment.
What else do businesses need to Businesses also must consider a wide
consider? range of
social issues, including how a decision will
affect
the environment, employees, and
customers.
These issues come under and are the
heart of CSR
,Why are business ethics so Important for organizations that want to do
important? well
over the long term. They need to consider
it.
CSR and what is their main Corporate Social Responsibility
objective? CSR's primary objective is to enhance
society's
well-being through philosophies, policies,
procedures, and actions.
In other words, businesses must find a
balance
between doing what is right and doing
what is
profitable.
Who all should the movement Everyone: consumers, the environment,
towards CSR benefit? and the
companies themselves.
, Sarbanes-Oxley Act of 2002 In the U.S. this act established new rules
and
regulations for securities trading and
accounting
practices - to deter and punish corporate
and
accounting fraud and corruption.
- Companies are now required to publish
their
code of ethics, if they have one, and inform
the
public of any changes made to it.
- The law may actually motivate more firms
to
develop written codes and guidelines for
ethical
business behavior.
- Also designed to protect the interests of
workers
and shareholders. The act also established
a new
regulatory body for public accounting firms.
Ethics Compliance Officers They are responsible for conducting
employee
training programs that help spot potential
fraud
and abuse, investigating sexual
harassment and
discrimination charges, and monitoring
potential
conflicts of interest.
