Professional Documents
Culture Documents
Chapter 1
Learning Objectives
(See related pages)
Chapter quizzes
1. Responsible decision making must rely on the personal values and principles of
the individuals involved.
A) True
B) False
2. An ethics course will change one's capacity to think.
A) True
B) False
3. At its most basic level, ethics is concerned with how we act and how we live our
lives.
A) True
B) False
4. To say that ethics is a descriptive discipline is to say that it deals with norms.
A) True
B) False
5. It was the failure of personal ethics among companies like Enron and WorldCom
that led to the creation of the Gramm-Leach-Bliley Act.
A) True
B) False
6. The Grayson-Himes Pay for Performance Act of 2009 was passed to amend the
executive compensation provisions of the:
A) Emergency Economic Stabilization Act of 2008.
B) Federal Privacy Act of 1974.
C) Corporate and Auditing Accountability, Transparency, and Responsibility Act of
2002.
D) Financial Services Modernization Act 1999.
7. According to philosophical ethics, teaching ethics must:
A) consider acceptance of customary norms as an adequate ethical perspective.
B) proclaim telling students how they ought to behave.
C) challenge students to think for themselves.
D) preach ethical dogma to a passive audience.
8. Philosophers often emphasize that ethics is normative in nature. What does this
mean?
A) It provides an account of how we act the way we do.
B) It deals with our reasoning about how we should act.
C) It provides an account of why we act the way we do.
D) It distinguishes between what is ethical and what is not.
9. Which of the following set the standards or guidelines for determining what one
should do, how one should act, and what type of person one should be?
A) Characters
B) Values
C) Norms
D) Roles
10.Reasoning about what we should do is referred to as _____.
A) cognitive reasoning
B) philanthropic reasoning
C) theoretical reasoning
D) practical reasoning
ANSWER KEY
1. A
2. B
3. A
4. B
5. B
6. A
7. C
8. B
9. C
10.D
1 Which statement correctly reflects the free market view of business social
responsibility?
A) In addition to making a profit, businesses are just as responsible for seeing to the
well-being of their employees and the communities in which they operate
B) No one other than the managers and owners of a business may claim to have
any stake in the business decisions managers make.
This is the correct answer.
C) In the process of providing goods and services to customer who need and want
them and maximizing profits for its shareowners, a business fulfills its social
responsibility
D) A business is responsible for maximizing profits for its shareowners, but, in
special circumstances, may have to sacrifice profits in the interest of the community
whose citizens depend on it for employment.
True or False
1 According to one perspective of business ethics, no one other than business
managers and owners may claim to have a stake in the business decisions
managers make.
A) TRUE
B) FALSE
2 The free market view holds that maximizing profits for its shareowners and
providing the public with the goods and services they want, is enough to satisfy a
business social responsibility.
A) TRUE
B) FALSE
3 The common understanding of business social responsibility is that business
owners may well have to sacrifice profits if the well-being of its employees and the
community it operates in demands it.
A) TRUE
B) FALSE
4 Because the language of ethics is so different from talk about the operational
fields of finance, marketing, accounting, management, law, and human resources,
ethical concepts and categories are not relevant to these fields.
A) TRUE
B) FALSE
5 Because people already know right from wrong, the study of business ethics is
simply an unprofitable exercise.
A) TRUE
B) FALSE
6 If something is seriously wrong, the law will prohibit it. Consequently, its enough
to rely on the law for deciding whats right or wrong.
A) TRUE
B) FALSE
7 What people do value and what they should value are not necessarily the same
A) TRUE
B) FALSE
8 The major reason to study ethics is that whether or not we examine the questions
what should I do? or what type of person should I be? or how shall we live in
community? we answer them in the course of living our everyday lives.
A) TRUE
B) FALSE
9 As long as individuals follow the mores, customs, and rules of their culture or
society, they are assured that their actions are ethically correct.
A) TRUE
B) FALSE
10 Philosophical ethics distinguishes what people do value from what they should
value.
A) TRUE
B) FALSE