Question 1

The triple bottom line in the perspective of corporate social responsibility emphasizes each of the following except:

Accepted Answer

A)   creation of profit.
B)   creation or destruction of environmental value.
C)   creation of social value.
D)   creation of private value. D

Question 2

A comprehensive values management program may be used in managing a corporation's diversity program.

Accepted Answer

A) True 
 B)False  True

Question 3

Leah has just handed in a major required report to her professor, and after careful scrutiny the professor finds numerous instances of plagiarism. If the school policy and the professor's personal perspective follow a principles-based approach, Leah should be charged and suffer whatever penalty is prescribed by school policy.

Accepted Answer

A) True 
 B)False  True

Question 4

Which of the following was not an argument made by recipients of AIG bonuses who were defending their right to receive and retain the bonus money?

Accepted Answer

A)   The bonuses were negotiated into their contracts prior to the AIG collapse.
B)   The bonuses were based on meeting individual goals that the employees did meet.
C)   The bonuses were needed to retain AIG's top talent, who were necessary as the company rebuilt.
D)   The bonuses came from money AIG had on hand at the time of the collapse and did not come from the taxpayer-supplied funds.

Question 5

In Grimshaw v. Ford Motor Company, if Ford had made the repairs to the cars, diminishing profit but enhancing customer safety, which theory of corporate social responsibility would Ford have been exhibiting?

Accepted Answer

A)   the narrow view, or invisible hand theory
B)   the moderate view, or government's hand theory
C)   the hybrid view, or citizen's hand theory
D)   the broad view, or management's hand theory

Question 6

Why is the case of Grimshaw v. Ford Motor Company looked at as an example of the failing of the invisible hand and government's hand approaches to corporate social responsibility?

Accepted Answer

The answer of Why is the case of Grimshaw v....

Question 7

Modern Corporation operates a steel mill. It has never contributed anything to the local community, and it knowingly pollutes both the air and the river that runs by its mill. The corporation's reasoning is that the cost of installing pollution control devices would diminish its profits, and it doesn't support the community because it provides jobs and doesn't think it owes anything else to the citizens in its area. Donating to the community would also diminish profits. Which theory of corporate social responsibility is Modern Corporation exhibiting?

Accepted Answer

A)   the narrow view, or invisible hand theory
B)   the moderate view, or government's hand theory
C)   the hybrid view, or citizen's hand theory
D)   the broad view, or management's hand theory

Question 8

Business ethics is a recent phenomenon not recognized or considered prior to the mid- to late 1900s.

Accepted Answer

A) True 
 B)False

Question 9

Mighty Motors is a major automobile manufacturer with assembly plants in small towns throughout the United States. Mighty Motors is suffering losses in the current economy and has decided to stop manufacturing the Mighty Brute, an SUV with horrible gas mileage that simply isn't selling. The company will also be closing the only plant that is exclusively dedicated to manufacturing the Brute. This particular assembly plant is the primary employer in the town that it is located in. Who, among the following, would be considered a secondary stakeholder in this decision?

Accepted Answer

A)   Ed, who has been working at the factory for ten years
B)   See Through Glass, which manufactures the windshields and side windows exclusively used in the Brute
C)   Mike, a town resident who teaches elementary school and drives a Hyundai Sonata
D)   Tony, who runs a pizza shop that many of the plant employees go to for lunch and sometimes dinner

Question 10

"What if everyone took these same actions" is a question sometimes called the:

Accepted Answer

A)   universalization approach.
B)   utilitarian approach.
C)   functionality approach.
D)   morality approach.

Question 11

As of today, the Enron bankruptcy remains the largest corporate bankruptcy in America's history.

Accepted Answer

A) True 
 B)False

Question 12

Religious teachings and ethics are separate and distinct and rarely if ever overlap.

Accepted Answer

A) True 
 B)False

Question 13

Advocates of the invisible hand theory do not trust corporate leaders with stewardship over noneconomic values.

Accepted Answer

A) True 
 B)False

Question 14

The fundamental underlying concept of corporate social responsibility is that conscience resides in individuals but not in a corporation itself.

Accepted Answer

A) True 
 B)False

Question 15

The notion of ________ is a central theme in Immanuel Kant's work.

Accepted Answer

The answer of The notion of ________ is a central...

Question 16

One of the major reasons that Enron failed was that it did not have an articulated code of ethics to guide the company.

Accepted Answer

A) True 
 B)False

Question 17

What is considered an ethical practice, once established, remains constant and acceptable unless specifically preempted by statute.

Accepted Answer

A) True 
 B)False

Question 18

The final result of the AIG bonusgate scandal was that no new laws or taxes were enacted, nor were there any additional official actions taken by Congress or the president.

Accepted Answer

A) True 
 B)False

Question 19

Altering people's values is one of the objectives of an organizational ethics program.

Accepted Answer

A) True 
 B)False

Question 20

As a result of the AIG bailout, the U.S. government received a(an) ________ stake in the company.

Accepted Answer

A)   50 percent
B)   60 percent
C)   70 percent
D)   80 percent

Exam 5: Business, Societal, and Ethical Contexts of Law

The triple bottom line in the perspective of corporate social responsibility emphasizes each of the following except:

A comprehensive values management program may be used in managing a corporation's diversity program.

Which of the following was not an argument made by recipients of AIG bonuses who were defending their right to receive and retain the bonus money?

In Grimshaw v. Ford Motor Company, if Ford had made the repairs to the cars, diminishing profit but enhancing customer safety, which theory of corporate social responsibility would Ford have been exhibiting?

Why is the case of Grimshaw v. Ford Motor Company looked at as an example of the failing of the invisible hand and government's hand approaches to corporate social responsibility?

Business ethics is a recent phenomenon not recognized or considered prior to the mid- to late 1900s.

"What if everyone took these same actions" is a question sometimes called the:

As of today, the Enron bankruptcy remains the largest corporate bankruptcy in America's history.

Religious teachings and ethics are separate and distinct and rarely if ever overlap.

Advocates of the invisible hand theory do not trust corporate leaders with stewardship over noneconomic values.

The fundamental underlying concept of corporate social responsibility is that conscience resides in individuals but not in a corporation itself.

The notion of ________ is a central theme in Immanuel Kant's work.

One of the major reasons that Enron failed was that it did not have an articulated code of ethics to guide the company.

What is considered an ethical practice, once established, remains constant and acceptable unless specifically preempted by statute.

The final result of the AIG bonusgate scandal was that no new laws or taxes were enacted, nor were there any additional official actions taken by Congress or the president.

Altering people's values is one of the objectives of an organizational ethics program.

As a result of the AIG bailout, the U.S. government received a(an) ________ stake in the company.