Question 1

Which of the following is TRUE of the impact of codes of ethics on employees?

Accepted Answer

A)  Employees are far more worried about their legal implications than ethical implications. 
B)  They are essentially useless without a high-integrity work culture. 
C)  They have the most impact on the behavior of employees with low moral identity. 
D)  They have the most impact on the behavior of already morally strong employees.

Question 2

Which of the following is held in common among the Christian, Muslim, and Jewish religions according to the 1994 interfaith declaration?

Accepted Answer

A)  respecting shareholder needs 
B)  upholding justice 
C)  the importance of business as a driver of nations 
D)  celebrating individual achievement

Question 3

You are a manager of a small lumber supply company. One of your employees accepts a gratuity from a customer without being aware that it violates the company code of conduct, but after a review by managerial staff and lawyers, it is determined to have violated the code. What is the first step you should take?

Accepted Answer

A)  Attempt to return the gratuity to the customer. 
B)  Fire the employee. 
C)  Ask for confidentiality from the customer. 
D)  Revise the code of conduct.

Question 4

If a company doesn't have a specific person in charge of managing ethics by the time it has 50 employees, it has failed in a key measure of ethical behavior.

Accepted Answer

A) True 
 B)False

Question 5

A code of conduct requires input from which of the following that is not required for a code of ethics?

Accepted Answer

A)  lawyers 
B)  employees 
C)  upper management 
D)  the president/CEO

Question 6

What is the purpose of using a round robin format in the work of the code-writing team?

Accepted Answer

A)  It allows everyone to hear examples and decide on common themes. 
B)  It allows management to hear of unethical behaviors in their company. 
C)  It helps employees come clean about their worst impulses. 
D)  It brings an international and broad cultural perspective to the resulting code of ethics.

Question 7

"We will earn our customers' enthusiasm through continuous improvement driven by the integrity teamwork, and innovation of GM people." This language from General Motors is part of a ______.

Accepted Answer

A)  mission statement 
B)  vision statement 
C)  code of conduct 
D)  code of ethics

Question 8

What does the government of the Netherlands require of all financial institution employees?

Accepted Answer

A)  Report coworkers not abiding by an oath of integrity. 
B)  Show each customer and client that they have taken an oath. 
C)  Adopt a personal oath of moral behavior. 
D)  Take an oath of integrity.

Question 9

Which of the following is a situation or condition that would make codes of ethics and conduct particularly important?

Accepted Answer

A)  a market crash that sends the company into a rough patch 
B)  a prolonged period of financial success 
C)  the hiring of a new CEO with a strong reputation for ethical leadership 
D)  a period during which no ethical violations have been reported

Question 10

When is a business gratuity not a bribe? How does a company deal with business gratuities to make sure they do not become a problem?

Accepted Answer

The answer of When is a business gratuity not a...

Question 11

How does a code of ethics differ from an organization's vision statement?

Accepted Answer

A)  It addresses acceptable behavior for specific situations, not general aspirations for behavior. 
B)  It describes aspirations for employee behavior, not future organizational aspiration. 
C)  It deals with organizational culture, not acceptable behavior in specific situations. 
D)  It articulates an organization's purpose, not its future aspirations.

Question 12

Explain the differences between a code of ethics and a code of conduct.

Accepted Answer

The answer of Explain the differences between a code of...

Question 13

In which of the following ways should a company's code of ethics differ from its mission statement or vision statement?

Accepted Answer

A)  It should be less subject to fluctuation with environmental changes. 
B)  It should have more input from management. 
C)  It should be less aspirational and more in line with present circumstances. 
D)  It should carry a greater reflection of industry expectations.

Question 14

What can be surmised from the existence of the Sarbanes-Oxley Act?

Accepted Answer

A)  There are sometimes legal requirements with respect to having a code of ethics. 
B)  Companies without codes of ethics are bound to violate the law. 
C)  Federal law requires that every company have a written code of ethics. 
D)  The federal government has dictated the content of codes of ethics for many companies.

Question 15

Which of the following statements about the MBA oath developed by Harvard Business School students is accurate?

Accepted Answer

A)  It requires the taker to reject the pursuit of personal wealth and profits. 
B)  It gives emphasis to the work of the individual and influence on the individual. 
C)  It is required of most graduates of MBA programs in the U.S. 
D)  It requires a promise to hold up proper laws and contracts.

Question 16

How does distribution of other organizations' codes of ethics relate to the code-writing process?

Accepted Answer

A)  Distribution of others' codes of ethics should come during the development of common themes. 
B)  It should come at the beginning of the process to provide a good benchmark. 
C)  It should come after an initial draft of the code has been created to protect employee contribution. 
D)  Codes of other organizations should never be distributed because plagiarism is a likely result.

Question 17

A firm wants to be publicly listed on the NASDAQ. What is required for this from an ethics standpoint?

Accepted Answer

A)  Have a code of ethics for upper management. 
B)  Have a publicly available code of ethics for all employees and management. 
C)  Publicly list the incidences and outcomes of ethics abuse lawsuits. 
D)  Have a publicly available code of conduct for all employees.

Question 18

What point is the text making when it mentions Enron's 60-page Code of Conduct?

Accepted Answer

A)  Having too long a code of conduct increases the chances it will be ignored by employees. 
B)  Having a code of conduct is meaningless unless it is matched by action. 
C)  Failing to have a lawyer vet or contribute to the development of the code opens the door to lax enforcement. 
D)  Once implemented, a solid code of conduct can reduce incidences of corporate malfeasance.

Question 19

What constitutes improper email use, according to the standards of most businesses?

Accepted Answer

The answer of What constitutes improper email use, according to...

Question 20

You designed and implemented a code of ethics and code of conduct for your business a year ago but haven't seen an improvement in ethical behavior among your employees. What might be the problem?

Accepted Answer

The answer of You designed and implemented a code of...

Exam 4: Codes of Ethics and Codes of Conduct