Question 1

Ranee is a businessperson who works for a successful and admired Fortune 500 company. About how often is Ranee likely to encounter ethical issues in the workplace?

Accepted Answer

A) Once or twice during her career 
B) About two to three times per year 
C) Approximately once a month 
D) Almost every week 
E) On a daily basis

Question 2

Manufacturers are not required by law to inform consumers about the potential dangers of using their products.

Accepted Answer

A) True 
 B)False

Question 3

Which president stated that consumers have the right to safety, to be informed, to choose, and to be heard?

Accepted Answer

A) Franklin D.Roosevelt 
B) Dwight D.Eisenhower 
C) Lyndon B.Johnson 
D) John F.Kennedy 
E) George H.Bush

Question 4

What does the government encourage in order to protect the consumer's right to choose?

Accepted Answer

A) Competition 
B) Monopolies 
C) Trust laws 
D) Divestitures 
E) Cooperation

Question 5

How does the economic model of social responsibility differ from the socioeconomic model of social responsibility?

Accepted Answer

The answer of How does the economic model of social...

Question 6

Metabo-Miracle offers a guaranteed weight loss of 10 pounds in one week without dieting or exercise. Thousands of customers purchase the products and about 200 call in with complaints that the product was ineffective. What action should Metabo-Miracle take?

Accepted Answer

A) It should immediately remove its products from the market, fully refund the thousands of customers' money, and close its business. 
B) It should use persuasive techniques to get the 200 disappointed customers to try the product again each time it fails in order to decrease refunds. 
C) It should explain to the customers that they misused the product and try to sell them more of the product. 
D) It should discuss the product failure with the customers and then provide them with a full refund of their purchase price. 
E) It should ignore the customers' complaints and hope they will tire of calling and writing letters.

Question 7

The director of a company's social responsibility program should be a consumer advocate who can express the social issues facing the firm to the organization's management.

Accepted Answer

A) True 
 B)False

Question 8

The study of the morality of choices made by people is known as

Accepted Answer

A) ethics. 
B) business ethics. 
C) freedom of choice. 
D) moral aptitude. 
E) standard of behavior.

Question 9

Which president stated that consumers have the right to consumer education?

Accepted Answer

A) Franklin D.Roosevelt 
B) John F.Kennedy 
C) Lyndon B.Johnson 
D) Gerald R.Ford 
E) Bill Clinton

Question 10

The socioeconomic model of social responsibility

Accepted Answer

A) holds that society will benefit most when business is left alone to produce and market profitable products. 
B) emphasizes that social responsibility is someone else's responsibility. 
C) holds that a firm is legally obligated to act in the economic interests of its stockholders. 
D) states that managers who concentrate on profit indirectly fulfill their social responsibilities. 
E) emphasizes profits as well as the effect of business decisions on society.

Question 11

Which of the following is the most effective way to encourage ethical business behavior?

Accepted Answer

A) Pass government regulations. 
B) Provide guidelines from trade associations. 
C) Include an ethics clause in a labor contract. 
D) Establish and enforce a corporate code of ethics. 
E) Rely on employees to blow the whistle.

Question 12

Define the doctrine of caveat emptor.

Accepted Answer

The answer of Define the doctrine of caveat emptor....

Question 13

Why is pollution of concern to most citizens? Why are some businesspeople particularly concerned about pollution?

Accepted Answer

The answer of Why is pollution of concern to most...

Question 14

A plan designed to increase the number of minority employees within an organization is known as

Accepted Answer

A) the Fair Labor Standards Act. 
B) the Equal Employment Opportunity Commission. 
C) the Better Business Bureau. 
D) an affirmative action program. 
E) the Clayton Act.

Question 15

Which type of pollution has seen the least improvement since environmental issues became important?

Accepted Answer

A) Land 
B) Air 
C) Ocean 
D) Water 
E) Factory

Question 16

Fairness and honesty in business are two important ethical concerns.

Accepted Answer

A) True 
 B)False

Question 17

You are the executive vice president for Cooper Tire, the sixth largest U.S. tire maker. You have the responsibility to locate land for a new distribution center in Mississippi, and you own over 1,000 acres of land near one site in Tupelo. This could create for you

Accepted Answer

A) a code of ethics. 
B) the usual decision-making problems of cost versus benefit to Cooper Tire. 
C) a wonderful, ethical opportunity to make a lot of money. 
D) an ethical opportunity to move the distribution center to your hometown. 
E) a conflict of interest.

Question 18

Joe, a restaurant supplies and equipment business manager, believes in the economic model of social responsibility. Which of the following would most likely be a quote from Joe in relation to social responsibility?

Accepted Answer

A) "What a waste of time for everyone!" 
B) "I fully support it." 
C) "That is someone else's job." 
D) "It's expensive, but worth it." 
E) "Not in my line of work."

Question 19

Travis is in charge of writing a report for his company that talks about the quality and safety of his company's products, business practices, involvement in the community, human resources, and efforts to reduce pollution. This is called a(n)

Accepted Answer

A) ethics report. 
B) social audit. 
C) compliance review. 
D) responsibility policy. 
E) citizenship report.

Question 20

Wonder Bread advertised that its bread "builds strong bodies." This claim was considered deceptive and thus a violation of the consumer's right to ____. The claim was a violation not because it was untrue but because the same claim was true of other breads, and people seeing the advertisement might have thought that Wonder Bread was unique.

Accepted Answer

A) safety 
B) be heard 
C) be informed 
D) choose 
E) life

Exam 2: Being Ethical and Socially Responsible

Ranee is a businessperson who works for a successful and admired Fortune 500 company. About how often is Ranee likely to encounter ethical issues in the workplace?

Manufacturers are not required by law to inform consumers about the potential dangers of using their products.

Which president stated that consumers have the right to safety, to be informed, to choose, and to be heard?

What does the government encourage in order to protect the consumer's right to choose?

How does the economic model of social responsibility differ from the socioeconomic model of social responsibility?

Metabo-Miracle offers a guaranteed weight loss of 10 pounds in one week without dieting or exercise. Thousands of customers purchase the products and about 200 call in with complaints that the product was ineffective. What action should Metabo-Miracle take?

The director of a company's social responsibility program should be a consumer advocate who can express the social issues facing the firm to the organization's management.

The study of the morality of choices made by people is known as

Which president stated that consumers have the right to consumer education?

The socioeconomic model of social responsibility

Which of the following is the most effective way to encourage ethical business behavior?

Define the doctrine of caveat emptor.

Why is pollution of concern to most citizens? Why are some businesspeople particularly concerned about pollution?

A plan designed to increase the number of minority employees within an organization is known as

Which type of pollution has seen the least improvement since environmental issues became important?

Fairness and honesty in business are two important ethical concerns.

You are the executive vice president for Cooper Tire, the sixth largest U.S. tire maker. You have the responsibility to locate land for a new distribution center in Mississippi, and you own over 1,000 acres of land near one site in Tupelo. This could create for you

Joe, a restaurant supplies and equipment business manager, believes in the economic model of social responsibility. Which of the following would most likely be a quote from Joe in relation to social responsibility?

Travis is in charge of writing a report for his company that talks about the quality and safety of his company's products, business practices, involvement in the community, human resources, and efforts to reduce pollution. This is called a(n)