Question 1

An ethics audit should be conducted regularly.

Accepted Answer

A) True 
 B)False  True

Question 2

Explain the benefits and risks of ethics auditing.

Accepted Answer

Benefits include the ability to detect misconduct before it becomes a major problem,highlight trends,improve organizational learning,facilitate communication and working relationships,and improve relationships with stakeholders who desire greater transparency.Additionally,audits provide evidence of a firm's attempt to identify and deal with major ethical risks.Risks of ethics auditing include discovering a serious ethical problem the firm would prefer not to make public until it has remedied the situation,criticisms that cannot easily be addressed,burdens such as costs associated with conducting an audit,and the challenges involved in assessing risk and identifying standards of comparison.

Question 3

Which of the following compares standards with actual behavior??

Accepted Answer

A) Process controls 
B) Shared values 
C) Output controls 
D) Formal controls 
E) Ethics audits 
A) Process controls 
B) Shared values 
C) Output controls 
D) Formal controls 
E) Ethics audits C

Question 4

What should be the final step in the ethics auditing process?

Accepted Answer

A) Define the scope of the audit 
B) Secure the commitment of top managers and directors 
C) Collect and analyze data 
D) Report the findings 
E) Verify the results 
A) Define the scope of the audit 
B) Secure the commitment of top managers and directors 
C) Collect and analyze data 
D) Report the findings 
E) Verify the results

Question 5

Which of the following is not a measure of ethical climate?

Accepted Answer

A) Collective skill 
B) Collective ethical sensitivity 
C) Collective character 
D) Collective judgment 
E) Collective moral motivation 
A) Collective skill 
B) Collective ethical sensitivity 
C) Collective character 
D) Collective judgment 
E) Collective moral motivation

Question 6

Independent verification of the ethics audit is important because it lends the report

Accepted Answer

A) credibility and formality. 
B) credibility and civility. 
C) credibility and objectivity. 
D) objectivity and civility. 
E) objectivity and formality. 
A) credibility and formality. 
B) credibility and civility. 
C) credibility and objectivity. 
D) objectivity and civility. 
E) objectivity and formality.

Question 7

The process of verifying the results of an audit should involve standard procedures that control the _____ of the information.

Accepted Answer

A) completeness 
B) effectiveness and efficiency 
C) reliability and validity 
D) independence 
E) veracity 
A) completeness 
B) effectiveness and efficiency 
C) reliability and validity 
D) independence 
E) veracity

Question 8

Which of the following is a possible unintended consequence of an organization focusing more on ethics planning than on implementation?

Accepted Answer

A) Employees may come to view unethical conduct as acceptable behavior. 
B) The government will implement its own audits. 
C) The ethics program will never be created. 
D) Employees will become dissatisfied with their jobs. 
E) The implementation process will incur large costs for the organization. 
A) Employees may come to view unethical conduct as acceptable behavior. 
B) The government will implement its own audits. 
C) The ethics program will never be created. 
D) Employees will become dissatisfied with their jobs. 
E) The implementation process will incur large costs for the organization.

Question 9

An ethics audit is much broader than a social audit.?

Accepted Answer

A) True 
 B)False

Question 10

Having the results of an ethics audit verified by an independent party is the second step in the ethics-auditing process.?

Accepted Answer

A) True 
 B)False

Question 11

Which of the following is a statement that attests that the financial statements made in an audit are fairly stated,without limitations?

Accepted Answer

A) Adverse opinion 
B) Qualified opinion 
C) Unqualified opinion 
D) Favorable opinion 
E) Disclaimer of opinion 
A) Adverse opinion 
B) Qualified opinion 
C) Unqualified opinion 
D) Favorable opinion 
E) Disclaimer of opinion

Question 12

How can companies secure stakeholder input during an ethics audit? Why is it important to do so?

Accepted Answer

Stakeholder input yields significant ins

Question 13

Which of the following is not a phase of escalation during an ethical disaster?

Accepted Answer

A) The firm's discovery of the misconduct 
B) Ethical issue recognition 
C) The firm's response to the misconduct 
D) The decision to act unethically 
E) The firm's decision to conduct an ethics audit 
A) The firm's discovery of the misconduct 
B) Ethical issue recognition 
C) The firm's response to the misconduct 
D) The decision to act unethically 
E) The firm's decision to conduct an ethics audit

Question 14

Two useful indicators for assessing employee issues are

Accepted Answer

A) staff turnover and stock price. 
B) staff turnover and employee satisfaction. 
C) staff turnover and honesty. 
D) employee satisfaction and attendance. 
E) employee satisfaction and productivity. 
A) staff turnover and stock price. 
B) staff turnover and employee satisfaction. 
C) staff turnover and honesty. 
D) employee satisfaction and attendance. 
E) employee satisfaction and productivity.

Question 15

Which of the following is not a technique for collecting evidence during the ethics audit?

Accepted Answer

A) Ratio analysis 
B) Observing the data-collection process 
C) Publishing the results of the audit 
D) Examining internal and external documents 
E) Confirming information in the firm's accounting records 
A) Ratio analysis 
B) Observing the data-collection process 
C) Publishing the results of the audit 
D) Examining internal and external documents 
E) Confirming information in the firm's accounting records

Question 16

What should be the first step in the auditing process?

Accepted Answer

A) Secure the commitment of top executives and directors 
B) Define the scope of the audit 
C) Establish a committee to oversee the audit 
D) Collect and analyze data 
E) Review organizational mission, goals, values, and policies 
A) Secure the commitment of top executives and directors 
B) Define the scope of the audit 
C) Establish a committee to oversee the audit 
D) Collect and analyze data 
E) Review organizational mission, goals, values, and policies

Question 17

Because ethics and social audits are _____,there are few standards that a company can apply with regard to reporting frequency,disclosure requirements,and remedial actions that it should take in response to results.

Accepted Answer

A) not necessary 
B) expensive 
C) required by law 
D) mandatory 
E) voluntary 
A) not necessary 
B) expensive 
C) required by law 
D) mandatory 
E) voluntary

Question 18

Any attempt to verify outcomes and to compare them with standards can be considered a(n)_____ activity,although many smaller firms do not use this word.

Accepted Answer

A) ethical 
B) auditing 
C) formal 
D) informal 
E) accounting 
A) ethical 
B) auditing 
C) formal 
D) informal 
E) accounting

Question 19

Retaliation against employees that report misconduct is a problem in _____ cultures.

Accepted Answer

A) weak ethical 
B) strong ethical 
C) high power distance 
D) diverse 
E) international 
A) weak ethical 
B) strong ethical 
C) high power distance 
D) diverse 
E) international

Question 20

During the data-collection phase of the audit,the primary objective is to generate a variety of opinions about how the company is perceived and whether it is

Accepted Answer

A) fulfilling employee benefits commitments. 
B) bringing in new customers. 
C) meeting profit projections. 
D) meeting earnings projections. 
E) fulfilling stakeholders' expectations. 
A) fulfilling employee benefits commitments. 
B) bringing in new customers. 
C) meeting profit projections. 
D) meeting earnings projections. 
E) fulfilling stakeholders' expectations.

An ethics audit should be conducted regularly.

Explain the benefits and risks of ethics auditing.

Which of the following compares standards with actual behavior??

What should be the final step in the ethics auditing process?

Which of the following is not a measure of ethical climate?

Independent verification of the ethics audit is important because it lends the report

The process of verifying the results of an audit should involve standard procedures that control the _____ of the information.

Which of the following is a possible unintended consequence of an organization focusing more on ethics planning than on implementation?

An ethics audit is much broader than a social audit.?

Having the results of an ethics audit verified by an independent party is the second step in the ethics-auditing process.?

Which of the following is a statement that attests that the financial statements made in an audit are fairly stated,without limitations?

How can companies secure stakeholder input during an ethics audit? Why is it important to do so?

Which of the following is not a phase of escalation during an ethical disaster?

Two useful indicators for assessing employee issues are

Which of the following is not a technique for collecting evidence during the ethics audit?

What should be the first step in the auditing process?

Because ethics and social audits are _____,there are few standards that a company can apply with regard to reporting frequency,disclosure requirements,and remedial actions that it should take in response to results.

Any attempt to verify outcomes and to compare them with standards can be considered a(n)_____ activity,although many smaller firms do not use this word.

Retaliation against employees that report misconduct is a problem in _____ cultures.

During the data-collection phase of the audit,the primary objective is to generate a variety of opinions about how the company is perceived and whether it is

The Importance of Business Ethics

Stakeholder Relationships, Social Responsibility, and Corporate Governance

Emerging Business Ethics Issues

The Institutionalization of Business Ethics

Ethical Decision Making

Individual Factors: Moral Philosophies and Values

Organizational Factors: The Role of Ethical Culture and Relationships

Developing an Effective Ethics Program

Globalization of Ethical Decision Making

Ethical Leadership

Sustainability: Ethical and Social Responsibility Dimensions

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Exam 9: Managing and Controlling Ethics Programs

An ethics audit should be conducted regularly.

Explain the benefits and risks of ethics auditing.

Which of the following compares standards with actual behavior??

What should be the final step in the ethics auditing process?

Which of the following is not a measure of ethical climate?

Independent verification of the ethics audit is important because it lends the report

The process of verifying the results of an audit should involve standard procedures that control the _____ of the information.

Which of the following is a possible unintended consequence of an organization focusing more on ethics planning than on implementation?

An ethics audit is much broader than a social audit.?

Having the results of an ethics audit verified by an independent party is the second step in the ethics-auditing process.?

Which of the following is a statement that attests that the financial statements made in an audit are fairly stated,without limitations?

How can companies secure stakeholder input during an ethics audit? Why is it important to do so?

Which of the following is not a phase of escalation during an ethical disaster?

Two useful indicators for assessing employee issues are

Which of the following is not a technique for collecting evidence during the ethics audit?

What should be the first step in the auditing process?

Because ethics and social audits are _____,there are few standards that a company can apply with regard to reporting frequency,disclosure requirements,and remedial actions that it should take in response to results.

Any attempt to verify outcomes and to compare them with standards can be considered a(n)_____ activity,although many smaller firms do not use this word.

Retaliation against employees that report misconduct is a problem in _____ cultures.

During the data-collection phase of the audit,the primary objective is to generate a variety of opinions about how the company is perceived and whether it is

The Importance of Business Ethics

Stakeholder Relationships, Social Responsibility, and Corporate Governance

Emerging Business Ethics Issues

The Institutionalization of Business Ethics

Ethical Decision Making

Individual Factors: Moral Philosophies and Values

Organizational Factors: The Role of Ethical Culture and Relationships

Developing an Effective Ethics Program

Globalization of Ethical Decision Making

Ethical Leadership

Sustainability: Ethical and Social Responsibility Dimensions

Filters