1. An organization’s mission statement highlights its key ethical issues and identifies the overarching values an
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d principles that are important to the organization and its decision making.
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a. True
b. False
ANSWER: False q w
2. Line operations personnel can be appointed as corporate ethics officers.
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a. True
b. False
ANSWER: q w True
3. In a nonprofit organization, the board of directors reports to the local community that it serves.
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a. True
b. False
ANSWER: q w True
4. Consistency means that shareholders, customers, suppliers, and the community know what they can expect of
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an organization—that it will behave in the future much as it has in the past.
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a. True
b. False
ANSWER: q w True
5. The greater reliance of information systems in all aspects of life has decreased the risk that information technolo
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gy will be used unethically.
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a. True
b. False
ANSWER: False q w
6. Increasingly, managers are including ethical conduct as part of an employee’s performance appraisal.
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a. True
b. False
ANSWER: q w True
7. Employees may suppress their tendency to act in a manner that seems ethical to them and instead act in a ma
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nner that will protect them against anticipated punishment.
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a. True
b. False
ANSWER: q w True
© 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole o
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r in part.
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, Chapter 1: An Overview of Ethic
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s
8. The term morality refers to social conventions about right and wrong that are so widely shared that they become t
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he basis for an established consensus.
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a. True
b. False
ANSWER: q w True
9. Laws can proclaim an act as legal, although many people may consider the act immoral.
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a. True
b. False
ANSWER: q w True
10. Fairness and generosity are examples of virtues.
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a. True
b. False
ANSWER: q w True
11. Lawrence Kohlberg found that the most crucial factor that stimulates a person’s moral development is moneta
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ry reward for good behavior.
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a. True
b. False
ANSWER: False q w
12. Multinational and global organizations must not present a consistent face to their shareholders, customers, an
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d suppliers but instead must operate with a different value system in each country they do business in.
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a. True
b. False
ANSWER: False q w
13. Legal acts conform to what an individual believes to be the right thing to do.
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a. True
b. False
ANSWER: False q w
14. Ethics has risen to the top of the business agenda because risks associated with inappropriate behavior h
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ave increased, both in their likelihood and in their potential negative impact.
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a. True
b. False
ANSWER: q w True
© 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole o
qw qw qw qw qw qw qw qw qw qw qw qw qw qw qw qw qw qw qw qw qw qw qw
r in part.
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, Chapter 1: An Overview of Ethic
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s
15. Setting corporate social responsibility (CSR) goals encourages an organization to achieve higher moral and ethica
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l standards.
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a. True
b. False
ANSWER: q w True
16. The fairness approach to ethical decision making states that one should choose the action or policy that has the b
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est overall consequences for all people who are directly or indirectly affected.
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a. True
b. False
ANSWER: False q w
17. The board of directors of an organization is normally responsible for day-to-
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day management and operations of the organization.
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a. True
b. False
ANSWER: False q w
18. An individual’s manager has very little impact on his or her ethical behavior.
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a. True
b. False
ANSWER: False q w
19. In the business world, important decisions are too often left to the technical experts; general business manage
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rs must assume greater responsibility for these decisions.
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a. True
b. False
ANSWER: q w True
20. The goal of the SarbanesOxley Act was to renew investor’s trust in corporate executives and their firm’s finan
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cial reports following numerous financial scandals in the early 2000s.
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a. True
b. False
ANSWER: q w True
21. Individual views on what is moral are so strongly held that there is nearly universal agreement in spite
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of differences in age, cultural group, ethnic background, religion, life experience, education, and gende
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r.
a. True
b. False
ANSWER: False q w
© 2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole o
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r in part.
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