Question 1

What is using confidential information to gain from the purchase of a stock is called?

Accepted Answer

A) Insider trading 
B) Stock scam 
C) Pump and dump 
D) Market manipulation 
E) Improper profiting 
A) Insider trading 
B) Stock scam 
C) Pump and dump 
D) Market manipulation 
E) Improper profiting

Question 2

When Sony Ericsson hired models to pose as "tourists" who asked real tourists if they would take their picture with Sony's new camera cellphone,this was an example of

Accepted Answer

A) advertising of a counterfeit brand. 
B) morally objectionable advertising. 
C) lack of truth-in-advertising. 
D) misleading price advertising. 
E) stealth advertising. 
A) advertising of a counterfeit brand. 
B) morally objectionable advertising. 
C) lack of truth-in-advertising. 
D) misleading price advertising. 
E) stealth advertising.

Question 3

The United Nations "cap and trade" system gives certain companies (i.e. ,those that have bought carbon credits)the right to pollute the atmosphere.

Accepted Answer

A) True 
 B)False

Question 4

Ethical standards relating to business practices are consistent around the world.

Accepted Answer

A) True 
 B)False

Question 5

Steve Beatty is the head salesperson of a computer company that has a contract with a supplier to provide technical equipment and support.Just before the winter holiday,a greeting card comes to his home address from the president of the supplier.In it,he finds a Best Buy gift card worth $500,with a note that says,"Go buy some toys for the kids." His children are excited,because they had been looking forward to getting some newly released game console. Beatty looks at his firm's formal code of ethics and finds that employees are cautioned not to accept gifts from suppliers for their own personal use.It does not specifically say that gifts for family members are included.He decides to keep the card.
Which of the following,if true,strengthens Beatty's ethical position?

Accepted Answer

A) The gift card has no expiration date,so he can wait to use it later,when he has moved to another position in his company where no conflict of interest exists. 
B) The greeting and the gift card were received at his home residence,not at his place of work. 
C) The salesman has just spent $500 of his own money on video game equipment for his children at Best Buy,so he has no immediate reason to use the gift card. 
D) The president of the supplier is Beatty's father-in-law,so the gift is a personal one for his grandchildren. 
E) On checking,Beatty learns that the supplier sent gift cards of lower value to other salespersons in his company. 
A) The gift card has no expiration date,so he can wait to use it later,when he has moved to another position in his company where no conflict of interest exists. 
B) The greeting and the gift card were received at his home residence,not at his place of work. 
C) The salesman has just spent $500 of his own money on video game equipment for his children at Best Buy,so he has no immediate reason to use the gift card. 
D) The president of the supplier is Beatty's father-in-law,so the gift is a personal one for his grandchildren. 
E) On checking,Beatty learns that the supplier sent gift cards of lower value to other salespersons in his company.

Question 6

The term "ethics" refers to

Accepted Answer

A) standards or moral values regarding what is right and wrong. 
B) avoiding doing things that,if everyone did it,we would have a real mess. 
C) believing what's right for one person is wrong for another. 
D) conflicts of interest that develop between two co-workers. 
E) bad behaviour by top managers in a company. 
A) standards or moral values regarding what is right and wrong. 
B) avoiding doing things that,if everyone did it,we would have a real mess. 
C) believing what's right for one person is wrong for another. 
D) conflicts of interest that develop between two co-workers. 
E) bad behaviour by top managers in a company.

Question 7

Executives at MKD Transportation have just been contacted by the media with a report that one of their ships is leaking an oily substance off the coast of Belize.If MKD adopts an accommodative stance,how will the company respond to the media and demands by the government of Belize and environmental groups?

Accepted Answer

MKD will likely admit responsi

Question 8

Consumerism is

Accepted Answer

A) the group of laws dealing with retail commercial transactions. 
B) the movement that seeks to protect and expand the rights of consumers in their dealings with businesses. 
C) the right to be informed about all aspects of a product. 
D) the right to choose the product. 
E) the right to safe products. 
A) the group of laws dealing with retail commercial transactions. 
B) the movement that seeks to protect and expand the rights of consumers in their dealings with businesses. 
C) the right to be informed about all aspects of a product. 
D) the right to choose the product. 
E) the right to safe products.

Question 9

Which of the following illustrates consumers' rights to safe products?

Accepted Answer

A) Food products must list their ingredients 
B) Open competition in the marketplace 
C) A new vacuum cleaner must be free of electrical hazards 
D) Procter & Gamble provides a toll-free telephone number for consumers to use for complaints or questions 
E) Clothing must be labelled with information about its proper care 
A) Food products must list their ingredients 
B) Open competition in the marketplace 
C) A new vacuum cleaner must be free of electrical hazards 
D) Procter & Gamble provides a toll-free telephone number for consumers to use for complaints or questions 
E) Clothing must be labelled with information about its proper care

Question 10

Smooth is a bar soap for women that is produced by Beautymax Products.Smooth has recently been reformulated because previous product ingredients had become quite expensive.However,the reformulation has caused some major problems,as some 12 percent of the recent consumers have reported developing a rash accompanied by itching and peeling skin. Beautymax's in-house public relations department has been given the task of crisis management for the negative publicity resulting from the skin rashes.The PR department is advocating using impression management strategies to protect the company's image.However,the CEO is arguing for an apology strategy.Which of the following statements,if true,would support the CEO's argument?

Accepted Answer

A) An expression of innocence,such as "someone else added something to our soap" would be believed by 16 percent of the consumers. 
B) An excuse,such as "this was a random act committed by a disgruntled employee," would be believed by 32 percent of the consumers. 
C) "We assume full responsibility and will change our soap formula immediately" would be believed by 34 percent of the consumers. 
D) "These rashes are exceptions to our high-quality standards" would be believed by 21 percent of the consumers. 
E) A justification,such as "the rashes are minor and resulted from a new addition to our product," would be believed by 17 percent of the consumers. 
A) An expression of innocence,such as "someone else added something to our soap" would be believed by 16 percent of the consumers. 
B) An excuse,such as "this was a random act committed by a disgruntled employee," would be believed by 32 percent of the consumers. 
C) "We assume full responsibility and will change our soap formula immediately" would be believed by 34 percent of the consumers. 
D) "These rashes are exceptions to our high-quality standards" would be believed by 21 percent of the consumers. 
E) A justification,such as "the rashes are minor and resulted from a new addition to our product," would be believed by 17 percent of the consumers.

What is using confidential information to gain from the purchase of a stock is called?

When Sony Ericsson hired models to pose as "tourists" who asked real tourists if they would take their picture with Sony's new camera cellphone,this was an example of

The United Nations "cap and trade" system gives certain companies (i.e. ,those that have bought carbon credits)the right to pollute the atmosphere.

Ethical standards relating to business practices are consistent around the world.

The term "ethics" refers to

Consumerism is

Which of the following illustrates consumers' rights to safe products?

Understanding the Canadian Business System

The Environment of Business

Entrepreneurship,small Business,and New Venture Creation

The Global Context of Business

Managing the Business Enterprise

Organizing the Business Enterprise

Managing Human Resources and Labour Relations

Motivating,satisfying,and Leading Employees

Operations Management,productivity,and Quality

Understanding Accounting

Understanding Marketing Principles and Developing Products

Pricing,promoting,and Distributing Products

Money and Banking

Financial Decisions and Risk Management

Filters

Exam 3: Conducting Business Ethically and Responsibly

What is using confidential information to gain from the purchase of a stock is called?

When Sony Ericsson hired models to pose as "tourists" who asked real tourists if they would take their picture with Sony's new camera cellphone,this was an example of

The United Nations "cap and trade" system gives certain companies (i.e. ,those that have bought carbon credits)the right to pollute the atmosphere.

Ethical standards relating to business practices are consistent around the world.

The term "ethics" refers to

Consumerism is

Which of the following illustrates consumers' rights to safe products?

Understanding the Canadian Business System

The Environment of Business

Entrepreneurship,small Business,and New Venture Creation

The Global Context of Business

Managing the Business Enterprise

Organizing the Business Enterprise

Managing Human Resources and Labour Relations

Motivating,satisfying,and Leading Employees

Operations Management,productivity,and Quality

Understanding Accounting

Understanding Marketing Principles and Developing Products

Pricing,promoting,and Distributing Products

Money and Banking

Financial Decisions and Risk Management

Filters