Exam 5: A: Ethics and Business Decision Making

Sunny Energy Corporation engages in ethical behavior solely for the purpose of get?ting good publicity and thereby increasing profits.Sunny is

Acting in good faith gives a business firm a better chance of defending its actions in court.

Solid Tool Company's decision makers view a particular risk in the use of Solid's product as open and obvious.Continuing to market the product without telling consumers of the risk could be justified from a perspective of

Whirlwind Financial Corporation sends its executives to a resort in Mexico-at taxpayers' expense-to consider using the firm's cash to buy back its stock and thereby prop up the value.Many of its competitors are doing the same thing.One of the best ways to learn about the ethical responsibilities inherent in operating a business is to look at

Dion,an accountant for Entertainment Sports,Inc. ,attempts to apply a duty-based approach to ethical reasoning in conflicts that occur on the job.This approach is based on the idea that a person must

Tilly,the chief financial officer for USA Products Corporation,at?tempts to apply Christian precepts in making ethical decisions and in do?ing business.In applying duty-based ethical standards that are derived from a religious source,Tilly would consider the motive behind an act to be

Business ethics applies only to the owners,operators,and employees of corporations.

In studying the legal environment of business,Professor Dooley's students also review ethics in a business context.Ethics includes the study of what constitutes

Fess,research manager for Greenergy Products,Inc. ,ap?plies utilitarian ethics to determine that an action is morally cor?rect when it produces the greatest good for

According to utilitarianism,it does not matter how many people suffer a negative effect from an act.

Ryan,the owner of SuperMart Stores,Inc. ,adheres to the "principle of rights" theory.Under this theory,a key factor in determining whether a business decision is ethical is how that decision affects

Recreation & Sports Equipment Corporation sells a product that is capable of seriously injuring consumers who misuse it in a foreseeable way.Does the firm owe an ethical duty to take this product off the market? What con?flicts might arise if the firm stops selling this product?

Some U.S.bribery laws are directed toward accountants.

An action may be legal but not ethical.

The most common reason that ethical problems occur in business is an overemphasis on long-run profit maximization.

In business deals,Felipe,the chief executive officer of Glazed Donuts,Inc. ,follows duty-based ethical standards.These are most likely derived from

Corporations can be good citizens by promoting goals that society deems worthwhile.

Global Distribution Corporation suggests that its employees apply the "categorical imperative" to ethical issues that arise at work.This re?quires that the employees

Stock buybacks are illegal and serve no legitimate purposes.

BarBQ Sushi Taco Company considers the impact of its corporate decisions on various groups and often acts in the interest of a group that has a greater stake in a decision than BarBQ's shareholders.This is most likely to attract potential employees who are