Question 1: One of most common fraudulent activities reported by employees about their coworkers is
- lowering quality standards to cut costs.
- discriminating in the hiring process.
- using dishonest messages in advertising campaigns.
- claiming to have worked extra hours.
- giving bribes to foreign officials.
Question 2: Which of the following statements is true about codes of conduct?
- Codes are mostly standardized throughout all industries.
- Codes are informal ideals about organizational expectations.
- Few organizations have written ethical guidelines.
- Codes are designed to resolve every ethical dilemma a company may face.
- Codes are formal statements describing organizational expectations.
Question 3: What does the Family and Medical Leave Act of 1993 (FMLA) require of certain employers?
- Provide 12 weeks of paid leave to an employee with a special family or medical circumstance.
- Allow employees up to a year of unpaid leave to attend to a family medical emergency without the loss of their jobs.
- Provide all employees with 10 weeks of job-protected leave for certain family and medical emergencies.
- Provide up to 12 weeks of unpaid, job-protected leave to eligible employees for certain family and medical reasons.
- Provide 12 weeks of leave at 50 percent of the employee's normal salary for a family or medical reason.
Question 4: Which of the following is not likely to be a benefit from an ethics training program?
- To educate employees about the firm's ethical policies and expectations
- To empower employees to ask tough questions and make ethical decisions
- To ensure that employees' personal values are in line with those of the organization
- To make employees aware of available resources
- To demonstrate the importance the organization places on ethics
Question 5: What is the psychological contract between an employee and his or her employer?
- Terms of employment, including the salary and benefits, associated with an employee's position
- The employee's perception about how the company should treat him or her
- Beliefs, perceptions, expectations, and obligations that comprise an agreement between individuals and their organizations
- Formal contract between individuals and their employer that details the beliefs and obligations of both parties
- Contract an employee signs to verify that he or she is of sound mind to serve in the capacity outlined by his or her job title
Question 6: According to the National Business Ethics Survey, ____ is a primary reason that employees do not report misconduct.
- the fear of retaliation
- a concern about safety regulations
- having poor personal moral values
- the absence of an ethics hotline
- a lack of interest
Question 7: What is the main purpose of the Occupational Safety and Health Administration?
- To conduct surprise inspections of businesses to see what laws they are violating
- To oversee the regulations intended to ensure safe and healthy working conditions for all employees
- To help employees seek restitution if they have suffered as a result of poor working conditions
- To threaten all companies with the possibility of fines and other punishment if any employees are injured or killed
- To improve the overall quality of the workforce in the United States and to increase global competitiveness
Question 8: Because it can be difficult to draw a boundary between some legal and ethical issues in the workplace, it is important to
- realize that ethical issues rarely become so important that they reach the courtroom for resolution.
- recognize that the most cost-effective way to resolve disputes is through the court system.
- have an organizational mechanism for resolving all questionable issues.
- ensure that legal issues brought by stakeholders outside of the organization are resolved within the organization.
- develop a code of conduct to cover every possible issue.
Question 9: Despite business concerns about the costs of regulations, the benefits include all of the following except
- safer workplaces.
- safer products.
- fewer consumer complaints.
- equality in the workplace.
- a cleaner natural environment.
Question 10: If a consumer staged an accident in a store and then sought damages against the store for its poor safety standards, this customer has committed which fraudulent activity?
- Shoplifting
- Guile
- Duplicity
- Collusion
- Product misuse
Question 11: What concept governed employment up until the early 1900s?
- Master-servant
- Employment at will
- Vesting
- FLSA
- Labor unions
Question 12: One of the most effective methods of ethics training is
- getting employees involved in resolving ethical dilemmas that relate to actual situations in the workplace.
- providing a video of the ethics officer.
- testing employees on the code of conduct.
- discussing cognitive moral development.
- providing a CD-ROM of material for employees to view on their own.
Question 13: Which of the following examples best aligns a company's competencies and strategic goals with philanthropic activity?
- A local gas station has a program in which its employees are partnered with disadvantaged youths as mentors.
- Ben and Jerry's Homemade ice cream company donates a percentage of its pretax profits to support peace initiatives.
- The local telephone company donates money to the Youth Soccer Foundation to help pay for the upkeep of soccer fields and equipment.
- A hair salon donates one dollar of every haircut to support the local food bank's annual holiday food drive.
- Merck uses its pharmaceutical expertise to develop a drug to combat river blindness and donates millions of doses to poor countries.
Question 14: What does cause-related marketing do?
- Links corporate resources and knowledge to address broader social, customer, employee, and supplier problems and needs
- Ties an organization's product or service directly to a social concern
- Provides an opportunity to associate a company's name and brands to a particular sports event
- Consists of purposeful marketing that provides consumers with needed product information
- Creates a link between an environmental cause and the company as a whole
Question 15: Consumers can best be described as
- those individuals who purchase many different products throughout their lives.
- customers of any given organization.
- every firm's most important stakeholder.
- those individuals who purchase, use, and dispose of products for personal and household use.
- those groups who purchase products from manufacturers and then improve the products and sell them to others.
Question 16: In what industry did Upton Sinclair expose atrocities, inhumane labor practices, and unsanitary conditions in his novel, The Jungle, which led the public to demand reform?
- Automobile
- Soft drink
- Textile
- Meatpacking
- Pharmaceutical
Question 17: The process of working to persuade public and/or government officials to favor a particular position in decision making is known as
- special-interest pleading.
- bribery.
- lobbying.
- influencing.
- PAC.
Question 18: Conflicts of interest exist when employees must choose whether to
- advance their own interests, those of the organization, or those of some other group.
- advance the interests of the organization or those of society.
- accept bribes.
- carry out an assignment they perceive as unethical.
- report an unethical coworker.
Question 19: Which of the following provides the best description of the community stakeholder for an organization?
- The community to be concerned with is the immediate neighborhood where most of the organization's patrons live and work.
- The entire city in which the organization operates will be affected by the organization, and therefore this defines the community stakeholder.
- The entire county in which the organization is located is the community stakeholder because the impact of the organization reaches beyond the city to the entire county.
- The community aspect of the stakeholder model includes the entire region in which the company operates.
- The community includes those members of society who are aware of, concerned by, or in some way affected by the operations and outputs of the organization.
Question 20: Which of the following is not one of the elements of Texas Instruments' Ethics Quick Test?
- Is the action legal?
- Does it comply with our values?
- If you do it, will you feel bad?
- How will it look in the newspapers?
- What will your coworkers think?
Question 21: What experiences effectively ended the loyalty and commitment-based contract that employees had developed with employers?
- Employers took steps to cut costs through workforce reduction as the demands for global competitiveness increased.
- Employers began to say that employees were not that valuable to the company's success.
- Employees' desire for job security changed, and they no longer had a psychological need for security.
- Employers began to offer work-life balance perks to lure talented workers away from their current employers, and loyalty suffered.
- Employers felt that employees were not living up to the conditions of their psychological contracts.
Question 22: Which of the following most closely describes the relationship between consumers and businesses?
- They are fundamentally connected by an economic relationship that often leads to deeper attachment.
- All consumers are closely affiliated with the ethical principles the companies they buy from represent.
- The relationships between consumers and businesses are purely economic in nature through the exchange of value.
- There really is no relationship between businesses and consumers.
- "Let the buyer beware" describes the power that businesses now have over consumers.
Question 23: What impact have information services and the Internet had on consumers and businesses?
- They have shifted the balance of power between consumers and businesses because consumers are able to compare prices, read independent rankings, and obtain greater product knowledge.
- The Internet and other information services have not had a substantial impact on consumers and businesses.
- The balance of power between consumers and businesses has remained the same because businesses have obtained greater access to information about their competitors.
- Greater information services and the Internet have shifted power back to businesses since they can now obtain more information about their customers.
- Laws and regulations represent the influence businesses have on consumers and vice versa - whether or not information is more readily available does not impact the laws governing consumers' rights.
Question 24: Why did McDonald's start displaying warning signs that its coffee is hot after the famous lawsuit?
- As a friendly reminder to customers that coffee is in fact hot
- As a form of advertising that the coffee at McDonald's is always fresh
- To try to eliminate further injury and product liability
- Because the government ordered that these signs be posted
- So that customers would not think McDonald's was serving iced coffee
Question 25: Which government agency enforces regulations designed to protect the public from unreasonable risk of injury from consumer products?
- Federal Anti-Injury Institute
- Consumer Product Safety Commission
- Consumer Information Bureau
- Deceptive Trade Practices Commission
- Privacy Protection Agency
Question 26: To whom should consumers turn first when exercising their right to seek redress?
- Federal Trade Commission
- Local Better Business Bureau
- Seller of the product/service
- Their attorney
- Consumer Protection Agency
Question 27: Lying by omission involves intentionally
- withholding material facts.
- creating "noise" within the communication that knowingly confuses or deceives the receiver.
- using highly technical language that the receiver does not understand.
- trying to not hurt someone's feelings.
- telling "white lies."
Question 28: Which of the following best describes ethics?
- Rules about how one should act in a business situation
- Balancing the ever-changing and complex needs of society with the desire for profit
- Choices and judgments about acceptable standards of conduct that guide the behavior of individuals and groups
- Guidelines that a company provides its employees with to ensure that they will act in the best interest of society
- Beliefs held by all people
Question 29: The Consumers Union tests products in its own laboratories and studies, then communicates the results
- in Good Housekeeping magazine.
- to manufacturers, who choose whether to publish the findings.
- to state and federal regulatory agencies.
- in Consumer Reports magazine.
- via weekly e-mail reports.
Question 30: The organizational function dedicated to building and maintaining relationships and trust with the community is known as
the social activity department.
- the marketing department.
- customer service.
- community relations.
- stakeholder management group.