Exam 3: Creating an Ethical Organization Environment and Effective Corporate Governance Systems

What is the agency problem?

Each of the following is an ethical issue in business except for:

Compensation of executives has soared over the last forty plus years to more than 400 times the pay for average workers. Suggested remedies to rein in executive compensation especially during time of corporate wrongdoing include each of the following except for:

The level of care expected of a reasonable person under similar circumstances in meeting one's fiduciary duty is called:

Henry is the chief accounting office of XYZ Co. He believes the financial statements are accurate but he has been asked by the CFO to accelerate the recording of revenue at the end of the year to push a material amount that should be reported next year into the current year. If Henry is an ethical accountant he should react by:

The primary ethical issue in United Thermostatic Controls is:

What is a university's equivalent of a code of ethics?

An ethical organization incorporates what into their decision-making process:

Fraud can be defined as:

Analyze the reaction of Toyota from an ethical perspective to disclosures that occurred in late 2009 and early 2010 that the accelerator in some brands might get stuck and result in unintended acceleration of the car. How does Toyota's reaction relate to that of Ford with the Pinto and Johnson & Johnson with the Tylenol poisoning?

The seven signs of a pending ethical collapse include all but:

A seemingly positive result of the 2011 National Business Ethics Survey is:

What is whistleblowing? Distinguish between internal and external whistleblowing including the parties that might be contacted in each case. Is it ethical to provide incentives or rewards for people to whistle-blow?

A similarity between the Bernie Madoff situation and that of R. Allen Stanford is they both were:

Internal control over financial reporting includes each of the following elements except for:

As a manager in her firm, Lucy concerns herself with the effectiveness of internal controls. Her main focus is how efficient and effective the company's internal controls are over time. Which component of internal control is Lucy engaging in?

Which of the following is not an ethical issue in business?

According to the 2012 Global Fraud Study of the ACFE, which fraud scheme posed the greatest risks to organizations throughout the world:

An ethical corporate culture can best be established by:

A unique aspect of Johnson & Johnson's Credo is that it: