Chapter 09: Developing and Implementing an Effective Ethics Program
1. In the "bad apple–bad barrel" analogy, the bad barrel refers to which of the following?
a. Unethical employees
b. A corrupt society
c. A criminal organization
d. Indifferent management
e. An unethical corporate
culture
ANSWER: e
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-2 The Need for Organizational Ethics Programs
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.02 - Understand why businesses need ethics
programs
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 10:44 AM
DATE MODIFIED: 8/18/2021 10:51 AM
2. Which of the following statements about codes of conduct are ? (Select four)true
a. They show employees that the business is both responsible and
ethical.
b. They address every ethical issue that an employee may face.
c. They help communicate expectations for employees.
d. They provide rules and guidelines for employees to follow.
e. They give the company culture an ethical foundation.
ANSWER: a, c, d, e
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-4 Codes of Conduct
QUESTION TYPE: Multiple Response
HAS VARIABLES: False
LEARNING OBJEC
TIVES:
BE.FERR.13.ChO.09.04 - Describe the role of codes of ethics in identifying
key corporate risk areas
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 10:52 AM
DATE MODIFIED: 8/18/2021 10:57 AM
3. A strong ethics program includes which of the following elements? (Select four)
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a. A clause promising good stock market performance
b. A written code of conduct or ethics
c. Formal ethics training
d. Auditing, monitoring, enforcement, and revision of
standards
e. High-level personnel to oversee the program
ANSWER: b, c, d, e
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-3 An Effective Ethics Program
QUESTION TYPE: Multiple Response
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.03 - List the minimum requirements for an ethics
program
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 10:57 AM
DATE MODIFIED: 8/18/2021 10:58 AM
4. In the absence of ethics programs, employees are likely to make decisions based on which of the following?
a. Their observations of how their coworkers and superiors
behave
b. How they and their family members behave at home
c. Whatever they can get away with
d. Their educational backgrounds
e. What they did at their previous organizations
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-2 The Need for Organizational Ethics Programs
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.02 - Understand why businesses need ethics
programs
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 10:59 AM
DATE MODIFIED: 8/18/2021 11:02 AM
5. Formal statements that describe what an organization expects of its employees in terms of ethical behavior are known
as _______.
a. mission statements
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b. codes of conduct
c. policies on confidentiality
d. environmental policies
e. the Federal Sentencing Guidelines for Organizations
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-3 An Effective Ethics Program
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJEC
TIVES:
BE.FERR.13.ChO.09.04 - Describe the role of codes of ethics in identifying
key corporate risk areas
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 11:02 AM
DATE MODIFIED: 8/18/2021 11:04 AM
6. Because a corporation can be considered a moral agent, it is therefore _______.
a. obligated to perform philanthropic
responsibilities
b. required to have an ethics officer
c. responsible to society for its actions
d. required to adopt moral philosophies
e. not accountable for the conduct of its employees
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-1 The Responsibility of the Corporation to Stakeholders
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTI
VES:
BE.FERR.13.ChO.09.01 - Understand the responsibility of the
corporation to stakeholders
NATIONAL STANDAR
DS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 11:04 AM
DATE MODIFIED: 8/18/2021 11:05 AM
7. Which type of orientation strives to develop shared standards?
a. Obedience
b. Values
c. Legal
d. Complianc
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e
e. Systematic
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-3 An Effective Ethics Program
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.03 - List the minimum requirements for an ethics
program
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 11:12 AM
DATE MODIFIED: 8/18/2021 11:19 AM
8. For an ethics and compliance program to properly function, which of the following is ?true
a. Consistent enforcement and disciplinary action are essential.
b. Employees must be monitored using any means necessary.
c. It is not necessary to set measurable program objectives.
d. The same program should be used in all countries of operation, regardless of cultural
differences.
e. The company must wait until after misconduct occurs to develop a means of
preventing it.
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-7 Systems to Monitor and Enforce Ethical Standards
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.07 - Examine the ways ethical standards are
monitored, audited, and enforced
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 11:19 AM
DATE MODIFIED: 8/18/2021 11:22 AM
9. Which of the following is the most comprehensive?
a. Code of values
b. Mission statement
c. Code of ethics
d. Statement of values
e. Statement of
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principles
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-3 An Effective Ethics Program
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJEC
TIVES:
BE.FERR.13.ChO.09.04 - Describe the role of codes of ethics in identifying
key corporate risk areas
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 11:51 AM
DATE MODIFIED: 8/18/2021 11:53 AM
10. At the heart of the Federal Sentencing Guidelines for Organizations is a(n) _______.
a. "tit-for-tat" philosophy that punishes wrongdoing
b. foundation based on the Golden Rule philosophy
c. Iron Fist philosophy that severely punishes wrongdoing
d. carrot-and-stick philosophy that rewards efforts to improve ethics
e. utilitarian philosophy of the greatest good for the greatest
number
ANSWER: d
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-3 An Effective Ethics Program
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.03 - List the minimum requirements for an ethics
program
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 11:53 AM
DATE MODIFIED: 8/18/2021 11:54 AM
11. Which of the following pieces of legislation has increased the responsibilities on ethics officers and boards of directors
to monitor financial reporting?
a. Sarbanes-Oxley Act
b. Robinson-Patman Act
c. Ethics Officer Responsibility Act
d. Sherman Antitrust Act
e. Enron Financial Responsibility Act
ANSWER: a
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POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-5 Ethics Officers
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.05 - Understand the role of the ethics officer
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 1:47 PM
DATE MODIFIED: 8/18/2021 1:48 PM
12. Because of social isolation that creates insensitivity and a lower level of motivation to regulate ethical decision
making, which of the following may be more inclined to engage in unethical organizational conduct?
a. Low-level employees
b. International managers
c. High-status officials
d. Government officials
e. Fortune 500
companies
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-2 The Need for Organizational Ethics Programs
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.02 - Understand why businesses need ethics
programs
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 1:59 PM
DATE MODIFIED: 8/18/2021 2:00 PM
13. Because their jobs and personal identity are often intimately connected to quarterly returns, top managers tend to focus
on which of the following?
a. Financial performance
b. Ethical performance
c. Ethical performance
d. Board of directors’ recommendations
e. Adherence to the code of conduct
ANSWER: a
POINTS: 1
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DIFFICULTY: Easy
REFERENCES: 9-2 The Need for Organizational Ethics Programs
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.02 - Understand why businesses need ethics
programs
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 2:01 PM
DATE MODIFIED: 8/18/2021 2:02 PM
14. Which of the following is one responsibility of an ethics officer?
a. Prosecuting illegal activities
b. Signing off on financial documents
c. Monitoring and auditing ethical conduct
d. Conducting employee performance
evaluations
e. Answering the ethics hotline
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-5 Ethics Officers
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.05 - Understand the role of the ethics officer
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 2:02 PM
DATE MODIFIED: 8/18/2021 2:04 PM
15. Which of the following is one of the key goals of successful ethics training programs?
a. To completely eliminate any chances of misconduct
b. To identify key risk areas employees will face
c. To make the company look good to stakeholders
d. To comply with legal requirements
e. To train employees on how to address every ethical situation they may encounter
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-6 Ethics Training and Communication
QUESTION TYPE: Multiple Choice
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HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.06 - Identify factors in successful ethics training,
program types, and goals
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 2:40 PM
DATE MODIFIED: 8/18/2021 2:42 PM
16. Which of the following is a major problem organizations tend to have when implementing an organizational ethics
program?
a. They fail to adopt formal corporate codes of ethics.
b. Government requirements for ethics programs are too ambiguous.
c. Wall Street investors demand companies take illegal action to increase profits.
d. Financial problems make ethical conduct impossible to pursue.
e. Top managers don't integrate codes, values, and standards into their firms' corporate
cultures.
ANSWER: e
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-2 The Need for Organizational Ethics Programs
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.02 - Understand why businesses need ethics
programs
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 2:42 PM
DATE MODIFIED: 8/18/2021 2:44 PM
17. Which of the following is an advantage of a values-based ethics program over a compliance-based one?
a. Employees learn to make decisions based on values such as fairness, compassion,
respect, and transparency.
b.Diverse employees no longer have differing values.
c. It requires employees to identify with and commit to specific required conduct.
d.A values orientation uses legal terms, statutes, and contracts that teach employees the
rules and penalties for noncompliance.
e. Unlike values-based programs, compliance-based programs cannot prevent
misconduct.
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-3 An Effective Ethics Program
QUESTION TYPE: Multiple Choice
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HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.03 - List the minimum requirements for an ethics
program
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 2:44 PM
DATE MODIFIED: 8/18/2021 2:45 PM
18. Which of the following is a common mistake made when implementing an ethics program?
a. Setting specific program objectives
b. Developing materials that are not understandable by the average employee
c. Adapting a firm's ethics program to its international operations
d. Allowing lower-level employees to make ethical decisions
e. Having one person take responsibility for implementing the ethics
program
ANSWER: b
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-4 Codes of Conduct
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJEC
TIVES:
BE.FERR.13.ChO.09.04 - Describe the role of codes of ethics in identifying
key corporate risk areas
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 2:45 PM
DATE MODIFIED: 8/18/2021 2:47 PM
19. Hotline 100 is a company that offers ethics hotline maintenance for organizations. The company accepts anonymous
calls 24/7, 365 days a year. Which component of the Federal Sentencing Guidelines for Organizations compliance
program does a company like Hotline 100 help organizations to satisfy?
a. Code of conduct
b. Enforcement of standards, codes, and rules
c. Delegation of authority to ethical persons
d. Systems for monitoring, auditing, and reporting
misconduct
e. Ethics training
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-7 Systems to Monitor and Enforce Ethical Standards
QUESTION TYPE: Multiple Choice
Copyright Cengage Learning. Powered by Cognero. Page 9
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.07 - Examine the ways ethical standards are
monitored, audited, and enforced
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 2:47 PM
DATE MODIFIED: 8/18/2021 2:48 PM
20. Which of the following statements about ethics training are ? (Select four)true
a. Ethics training can educate employees about the firm's policies and expectations, as
well as about relevant laws and regulations and general social standards.
b.Ethics training can dictate personal ethics on the job so employees no longer have
differences in beliefs.
c. Ethics training can make employees aware of available resources, support systems,
and designated personnel who can assist them with ethical and legal advice.
d.Ethics training can empower employees to ask tough questions and make ethical
decisions.
e. Ethics training can affect the influence of organizational culture, coworkers and
superiors, and opportunity.
ANSWER: a, c, d, e
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-6 Ethics Training and Communication
QUESTION TYPE: Multiple Response
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.06 - Identify factors in successful ethics training,
program types, and goals
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 2:58 PM
DATE MODIFIED: 8/18/2021 3:03 PM
21. Which of the following generates an ethical program that creates order by requiring that employees identify with and
commit to specific required conduct using legal terms and statutes?
Values orientation
a.
b. Code of conduct
c. Statement of values
d. Code of ethics
e. Compliance
orientation
ANSWER: e
POINTS: 1
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DIFFICULTY: Easy
REFERENCES: 9-3 An Effective Ethics Program
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.03 - List the minimum requirements for an ethics
program
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 4:05 PM
DATE MODIFIED: 8/18/2021 4:10 PM
22. Which of the following are key goals of successful ethics training programs? (Select four)
a. Identify key risk areas employees will face.
b.Align employee conduct with organizational reputation and branding.
c. Provide a hierarchy of leadership for employees to contact when they are faced with an
ethical dilemma they do not know how to resolve.
d.Allow employees to solve ethical issues using their best judgment.
e. Allow a mechanism for employees to voice their concerns that is anonymous but
provides answers to key questions.
ANSWER: a, b, c, e
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-6 Ethics Training and Communication
QUESTION TYPE: Multiple Response
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.06 - Identify factors in successful ethics training,
program types, and goals
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 4:10 PM
DATE MODIFIED: 8/18/2021 4:13 PM
23. Which individual is generally responsible for implementing disciplinary action for violation of a firm's ethics
standards?
a. CEO
b. President
c. Immediate supervisors
d. Ethics officer
e. Chairman of the
Board
ANSWER: d
POINTS: 1
Copyright Cengage Learning. Powered by Cognero. Page 11
DIFFICULTY: Easy
REFERENCES: 9-7 Systems to Monitor and Enforce Ethical Standards
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.07 - Examine the ways ethical standards are
monitored, audited, and enforced
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 4:15 PM
DATE MODIFIED: 8/18/2021 4:16 PM
24. To ensure that an ethics program addresses the needs of the average employee, it should include which of the
following? (Select four)
a. Feedback from employees across the firm
b. A question-and-answer section
c. Additional resources for guidance
d. Lengthy legal documents
e. User-friendly checklists, illustrations, and cartoons
ANSWER: a, b, c, e
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-7 Systems to Monitor and Enforce Ethical Standards
QUESTION TYPE: Multiple Response
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.07 - Examine the ways ethical standards are
monitored, audited, and enforced
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 4:16 PM
DATE MODIFIED: 8/18/2021 6:55 PM
25. Which of the following serve as a central contact point where critical comments, dilemmas, and advice can be
assigned to the person most appropriate for handling a specific case?
a. Training programs
b. Mission
statements
c. Codes of conduct
d. Hotlines
e. Boards of directors
ANSWER: d
POINTS: 1
DIFFICULTY: Easy
Copyright Cengage Learning. Powered by Cognero. Page 12
REFERENCES: 9-7 Systems to Monitor and Enforce Ethical Standards
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.07 - Examine the ways ethical standards are
monitored, audited, and enforced
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 5:04 PM
DATE MODIFIED: 8/18/2021 5:08 PM
26. Which of the following is one of the main reasons employees do not report observed misconduct?
a. Apathy
b. Most employees do not observe any
misconduct
c. Fear of retaliation
d. Laws and regulations do not protect employees
e. Hotlines do not work well
ANSWER: c
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-7 Systems to Monitor and Enforce Ethical Standards
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.07 - Examine the ways ethical standards are
monitored, audited, and enforced
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 5:08 PM
DATE MODIFIED: 8/18/2021 5:09 PM
27. Because top managers may be more insensitive to ethical issues due to their focus on financial performance, the FSGO
guidelines suggest that ethics officers instead report to which of the following?
a. Stock market
b. Board of directors
c. Middle managers
d. Customers
e. Stakeholders
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-7 Systems to Monitor and Enforce Ethical Standards
QUESTION TYPE: Multiple Choice
Copyright Cengage Learning. Powered by Cognero. Page 13
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.07 - Examine the ways ethical standards are
monitored, audited, and enforced
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 5:10 PM
DATE MODIFIED: 8/18/2021 5:11 PM
28. List the minimum requirements for ethics and compliance programs according to the Federal Sentencing Guidelines
for Organizations.
ANSWER: 1. Establish standards and procedures to prevent and detect criminal
conduct.
2. Ensure the firm’s board, top management, and high-level personnel
exercise reasonable oversight of those standards and procedures.
3. Make reasonable efforts to keep individuals whom organizations knew or
should have known to have engaged in illegal activities out of key
positions.
4. Communicate standards and procedures by training directors, employees,
and appropriate agents.
5. Monitor and audit the program to detect criminal conduct, evaluate the
program periodically, and have a system for reporting suspected
violations.
6. Promote and consistently enforce the program through appropriate
incentives and appropriate discipline.
7. After criminal conduct is detected, take reasonable steps to respond
appropriately and prevent further similar criminal conduct, including
necessary modifications to the ethics and compliance program.
POINTS: 1
DIFFICULTY: Moderate
REFERENCES
:
9-3 An Effective Ethics Program
QUESTION TY
PE:
Essay
HAS VARIABL
ES:
False
STUDENT EN
TRY MODE:
Basic
LEARNING O
BJECTIVES:
BE.FERR.13.ChO.09.03 - List the minimum requirements for an ethics program
NATIONAL ST
ANDARDS:
United States - BUSPROG: Ethics - Ethics
STATE STAND
ARDS:
United States - None - DISC: Ethical Responsibilities - Ethical Responsibilities
DATE CREAT
ED:
8/18/2021 5:11 PM
DATE MODIFI
ED:
8/18/2021 6:55 PM
Copyright Cengage Learning. Powered by Cognero. Page 14
29. Explain how ethical dilemmas and behavioral simulations can help employees make more ethical decisions.
ANSWER: Many feel “hands on” training when employees are forced to confront actual or
hypothetical ethical dilemmas helps them understand how their organization
would like them to deal with potential problems. Lockheed Martin, for example,
developed training games that include dilemmas that can be resolved in teams.
Each team member offers his or her perspective, thereby helping other team
members fully understand the ramifications of a decision for coworkers and the
organization.
POINTS: 1
DIFFICULTY: Easy
REFERENCES
:
9-6 Ethics Training and Communication
QUESTION TY
PE:
Essay
HAS VARIABL
ES:
False
STUDENT EN
TRY MODE:
Basic
LEARNING O
BJECTIVES:
BE.FERR.13.ChO.09.06 - Identify factors in successful ethics training, program
types, and goals
NATIONAL ST
ANDARDS:
United States - BUSPROG: Ethics - Ethics
STATE STAND
ARDS:
United States - None - DISC: Ethical Responsibilities - Ethical Responsibilities
DATE CREAT
ED:
8/18/2021 5:23 PM
DATE MODIFI
ED:
8/18/2021 5:24 PM
30. List the key goals of successful ethics training programs.
ANSWER: 1. Identify key risk areas employees will face.
2. Provide experience in dealing with hypothetical or disguised ethical
issues within the industry through mini-cases, online challenges, DVDs,
or other experiential learning opportunities.
3. Let employees know wrongdoing will never be supported in the
organization and employee evaluations will take their conduct in this area
into consideration.
4. Let employees know they are individually accountable for their behavior.
5. Align employee conduct with organizational reputation and branding.
6. Provide ongoing feedback to employees about how they are handling
ethical issues.
7. Allow a mechanism for employees to voice their concerns that is
anonymous but provides answers to key questions (24-hour hotlines).
8. Provide a hierarchy of leadership for employees to contact when they are
faced with an ethical dilemma they do not know how to resolve.
POINTS: 1
DIFFICULTY: Moderate
REFERENCES 9-6 Ethics Training and Communication
Copyright Cengage Learning. Powered by Cognero. Page 15
:
QUESTION TY
PE:
Essay
HAS VARIABL
ES:
False
STUDENT EN
TRY MODE:
Basic
LEARNING O
BJECTIVES:
BE.FERR.13.ChO.09.06 - Identify factors in successful ethics training, program
types, and goals
NATIONAL ST
ANDARDS:
United States - BUSPROG: Ethics - Ethics
STATE STAND
ARDS:
United States - None - DISC: Ethical Responsibilities - Ethical Responsibilities
DATE CREAT
ED:
8/18/2021 5:25 PM
DATE MODIFI
ED:
8/18/2021 5:33 PM
31. Describe the responsibilities of an ethics officer within an organization.
ANSWER: Ethics officers are responsible for managing their organizations’ ethics and legal
compliance programs. They are usually responsible for assessing the needs and
risks to be addressed in an organization-wide ethics program, developing and
distributing a code of conduct or ethics, conducting training programs for
employees, establishing and maintaining a confidential service to answer
questions about ethical issues, making sure the company is complying with
government regulations, monitoring and auditing ethical conduct, taking action
on possible violations of the company’s code, and reviewing and updating the
code.
POINTS: 1
DIFFICULTY: Moderate
REFERENCES
:
9-5 Ethics Officers
QUESTION TY
PE:
Essay
HAS VARIABL
ES:
False
STUDENT EN
TRY MODE:
Basic
LEARNING O
BJECTIVES:
BE.FERR.13.ChO.09.05 - Understand the role of the ethics officer
NATIONAL ST
ANDARDS:
United States - BUSPROG: Ethics - Ethics
STATE STAND
ARDS:
United States - None - DISC: Ethical Responsibilities - Ethical Responsibilities
DATE CREAT
ED:
8/18/2021 5:31 PM
DATE MODIFI
ED:
8/18/2021 5:32 PM
Copyright Cengage Learning. Powered by Cognero. Page 16
32. Discuss the advantages and disadvantages of implementing an ethics program with a compliance orientation versus
one with a values orientation. Is one better than the other at maintaining an ethical organization?
ANSWER: Research into compliance- and values-based approaches reveals that both types of
programs can interact or work toward the same end, but a values orientation has
the added benefit of sparking ethical reasoning among employees. Values-based
programs increase employees’ awareness of ethics at work, integrity, willingness
to deliver information to supervisors, use of reporting mechanisms, and
perception that ethical decisions are being made. Compliance-based programs are
linked to employees’ awareness of ethical risks at work and a clear understanding
of rules and expectations that facilitates decision making. In the final analysis,
both orientations can be used to help employees and managers; however, a
values-based program is the foundation of an organizational ethical culture.
POINTS: 1
DIFFICULTY: Moderate
REFERENCES
:
9-3 An Effective Ethics Program
QUESTION TY
PE:
Essay
HAS VARIABL
ES:
False
STUDENT EN
TRY MODE:
Basic
LEARNING O
BJECTIVES:
BE.FERR.13.ChO.09.03 - List the minimum requirements for an ethics program
NATIONAL ST
ANDARDS:
United States - BUSPROG: Ethics - Ethics
STATE STAND
ARDS:
United States - None - DISC: Ethical Responsibilities - Ethical Responsibilities
DATE CREAT
ED:
8/18/2021 5:33 PM
DATE MODIFI
ED:
8/18/2021 5:35 PM
33. Which document serves the general public and also addresses distinct groups such as stakeholders?
a. Statement of values
b. Code of conduct
c. Code of ethics
d. Federal Sentencing
guidelines
e. Ethics policies
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-4 Codes of Conduct
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJEC
TIVES:
BE.FERR.13.ChO.09.04 - Describe the role of codes of ethics in identifying
key corporate risk areas
Copyright Cengage Learning. Powered by Cognero. Page 17
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 5:35 PM
DATE MODIFIED: 8/18/2021 5:36 PM
34. The only way to develop an ethical corporate culture is to provide character education to existing employees or hire
employees with good character and sensitize them to ethical issues.
a. True
b. Fals
e
ANSWER: False
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-1 The Responsibility of the Corporation to Stakeholders
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTI
VES:
BE.FERR.13.ChO.09.01 - Understand the responsibility of the
corporation to stakeholders
NATIONAL STANDAR
DS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 5:37 PM
DATE MODIFIED: 8/18/2021 5:40 PM
35. In many cases, a coherent ethical corporate culture does not evolve through independent individual and interpersonal
relationships.
a. True
b. Fals
e
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-1 The Responsibility of the Corporation to Stakeholders
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTI
VES:
BE.FERR.13.ChO.09.01 - Understand the responsibility of the
corporation to stakeholders
NATIONAL STANDAR
DS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 5:40 PM
DATE MODIFIED: 8/18/2021 6:14 PM
Copyright Cengage Learning. Powered by Cognero. Page 18
36. The FSGO encourages federal judges to reduce or eliminate fines for firms with extensive compliance programs that
make due diligence attempts to abide by ethical and legal standards.
a. True
b. Fals
e
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-3 An Effective Ethics Program
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.03 - List the minimum requirements for an ethics
program
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:14 PM
DATE MODIFIED: 8/18/2021 6:15 PM
37. Companies should model their ethics training and communication initiatives after those of their competitors'.
a. True
b. Fals
e
ANSWER: False
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-6 Ethics Training and Communication
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.06 - Identify factors in successful ethics training,
program types, and goals
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:15 PM
DATE MODIFIED: 8/18/2021 6:16 PM
38. The most effective hotlines operate on an anonymous basis and are supported 24 hours a day, 365 days a year.
a. True
b. Fals
e
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-7 Systems to Monitor and Enforce Ethical Standards
Copyright Cengage Learning. Powered by Cognero. Page 19
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECT
IVES:
BE.FERR.13.ChO.09.07 - Examine the ways ethical standards are
monitored, audited, and enforced
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:16 PM
DATE MODIFIED: 8/18/2021 6:17 PM
39. One common problem found with corporate codes of ethics is that the codes were written too legalistically.
a. True
b. Fals
e
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-4 Codes of Conduct
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJEC
TIVES:
BE.FERR.13.ChO.09.04 - Describe the role of codes of ethics in identifying
key corporate risk areas
NATIONAL STANDA
RDS:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS
:
United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:18 PM
DATE MODIFIED: 8/18/2021 6:18 PM
40. An ethics audit should be conducted regularly.
a. True
b. Fals
e
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing
process
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:19 PM
Copyright Cengage Learning. Powered by Cognero. Page 20
DATE MODIFIED: 8/18/2021 6:20 PM
41. Which of the following is important in defining the scope of the audit process?
a. The types of teams involved in the process
b. Available opportunities the business has to manage ethics
c. Who has been assigned to oversee the audit
d. Government regulations outlining the process
e. Deciding on how to verify the results
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing
process
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:20 PM
DATE MODIFIED: 8/18/2021 6:22 PM
42. During which step of the ethics auditing process does an organization identify the tools or methods for measuring
progress in improving employees’ ethical decisions and conduct?
a. Secure commitment of top managers and
directors
b. Establish a committee to oversee the audit
c. Define the scope of the audit
d. Collect and analyze relevant information
e. Verify the results
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing
process
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:22 PM
DATE MODIFIED: 8/18/2021 6:23 PM
Copyright Cengage Learning. Powered by Cognero. Page 21
43. During which step of the auditing process should a firm examine all documents that make explicit commitments to
ethical, legal, or social responsibility?
a. Gain support of top management and board of
directors
b. Establish a committee to oversee the audit
c. Define the scope of the audit process
d. Review the firm’s mission, goals, values, and policies
e. Have the results verified by an independent party
ANSWER: d
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing
process
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:23 PM
DATE MODIFIED: 8/18/2021 6:24 PM
44. Ideally, which of the following should oversee an ethics audit?
a. The board's financial audit
committee
b. The CFO
c. The CEO
d. Outside consultants
e. Secondary stakeholders
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing
process
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:28 PM
DATE MODIFIED: 8/18/2021 6:30 PM
45. What is the step in the auditing process?first
Copyright Cengage Learning. Powered by Cognero. Page 22
a. Secure the commitment of top executives and directors
b. Define the scope of the audit
c. Establish a committee to oversee the audit
d. Collect and analyze data
e. Review organizational mission, goals, values, and policies
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing
process
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:30 PM
DATE MODIFIED: 8/18/2021 6:32 PM
46. An independent assessment of the quality, accuracy, and completeness of a company's social or ethics report is known
as _______.
a. complianc
e
b. verificatio
n
c. auditing
d. analysis
e. validation
ANSWER: b
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing
process
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:32 PM
DATE MODIFIED: 8/18/2021 6:33 PM
47. Which of the following is the step in the ethics-auditing process?final
a. Define the scope of the audit
Copyright Cengage Learning. Powered by Cognero. Page 23
b. Secure the commitment of top managers and
directors
c. Collect and analyze data
d. Report the findings
e. Verify the results
ANSWER: d
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing
process
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:33 PM
DATE MODIFIED: 8/18/2021 6:35 PM
48. Describe the stages of conducting an ethics audit.
ANSWER: The first step in conducting any audit is securing the commitment of the firm’s
top management and, if it is a public corporation, its board of directors. Without
this support, an audit will not improve the ethics program or the corporate
culture. The next step in the framework is to establish a committee or team to
oversee the audit process. Ideally, the board of directors’ financial audit
committee oversees the audit, but this does not happen in most companies. In any
case, this team should include employees knowledgeable about the nature and
role of ethics audits, and those people should come from various departments
within the firm. The third step involves the ethics audit committee establishing
the scope of the audit and monitoring its progress to ensure it stays on track. The
scope of an audit depends on the type of business, the risks it faces, and the
opportunities it has to manage ethics. Because ethics audits generally involve
comparing an organization’s ethical performance to its goals, values, and policies,
the fourth step of the audit process should include a review of the mission
statement and strategic objectives. It is important to examine all of the firm’s
policies and practices with respect to the specific areas covered by the audit. The
fifth step in the ethical audit framework is to identify the tools or methods for
measuring a firm’s progress to improve employees’ ethical decisions and conduct.
The firm should collect relevant information for each subject matter area.
Stakeholder involvement is another component in the successful implementation
of an ethics audit since they yield significant insights. Once this information is
collected, the firm should compare the internal perceptions to those identified in
the stakeholder assessment and summarize its findings. The sixth step is to have
an independent party—such as a social/ethics audit consultant, a financial
accounting firm offering social auditing services, or a nonprofit special interest
group with auditing experience—verify the results of the data analysis. The
seventh and final step in the framework is issuing the ethics audit report. This
involves reporting audit findings through a formal report to the board of directors
and top executives and, if approved, to external stakeholders.
Copyright Cengage Learning. Powered by Cognero. Page 24
POINTS: 1
DIFFICULTY: Moderate
REFERENCES
:
9-8 The Ethics Audit
QUESTION TY
PE:
Essay
HAS VARIABL
ES:
False
STUDENT EN
TRY MODE:
Basic
LEARNING O
BJECTIVES:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing process
NATIONAL ST
ANDARDS:
United States - BUSPROG: Ethics - Ethics
STATE STAND
ARDS:
United States - None - DISC: Ethical Responsibilities - Ethical Responsibilities
DATE CREAT
ED:
8/18/2021 6:35 PM
DATE MODIFI
ED:
8/18/2021 6:56 PM
49. Which of the following statements about ethics audits are ? (Select four)true
a. They provide an opportunity to measure conformity to the firm's desired ethical
standards.
b.They are a mandatory component of an ethics program.
c. They provide an objective method for demonstrating a company's commitment to
improving strategic planning, including its compliance with legal and ethical standards
and social responsibility.
d.They are a major component of the ethics program.
e. They are systematic evaluations of an organization's ethics program and performance
to determine whether it is effective.
ANSWER: a, c, d, e
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Response
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.08 - Explore the role of the ethics audit
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:36 PM
DATE MODIFIED: 8/18/2021 6:38 PM
50. Which of the following is a tool that companies can employ to identify and measure their ethical commitment to
stakeholders?
Copyright Cengage Learning. Powered by Cognero. Page 25
a. Ethics audit
b. Social audit
c. Financial audit
d. Performance audit
e. Technology assessment
ANSWER: a
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.08 - Explore the role of the ethics audit
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:38 PM
DATE MODIFIED: 8/18/2021 6:39 PM
51. Describe an ethics audit and explain its benefits.
ANSWER: An ethics audit is a systematic evaluation of an organization’s ethics program and
performance to determine effectiveness. Ethics auditing is a tool companies can
employ to identify and measure their ethical commitment to stakeholders. The
auditing process can highlight trends, improve organizational learning, and
facilitate communication and working relationships. Auditing can also help
companies assess the effectiveness of their programs and policies, which often
improves their operating efficiencies and reduces costs. Information from audits
and reports can allow a company to ensure it achieves the greatest possible
impact with available resources. The process of ethics auditing also helps an
organization identify potential risks and liabilities and improve its compliance
with the law. Furthermore, the audit report may help document a firm’s
compliance with legal requirements as well as demonstrate its progress in areas
where it previously failed to comply. For organizations, one of the greatest
benefits of the auditing process is improved relationships with stakeholders who
desire greater transparency.
POINTS: 1
DIFFICULTY: Moderate
REFERENCES
:
9-8 The Ethics Audit
QUESTION TY
PE:
Essay
HAS VARIABL
ES:
False
STUDENT EN
TRY MODE:
Basic
LEARNING O
BJECTIVES:
BE.FERR.13.ChO.09.08 - Explore the role of the ethics audit
Copyright Cengage Learning. Powered by Cognero. Page 26
NATIONAL ST
ANDARDS:
United States - BUSPROG: Ethics - Ethics
STATE STAND
ARDS:
United States - None - DISC: Ethical Responsibilities - Ethical Responsibilities
DATE CREAT
ED:
8/18/2021 6:39 PM
DATE MODIFI
ED:
8/18/2021 6:53 PM
52. Because ethics audits are voluntary, there are fewer standards a company can apply with regard to reporting frequency,
disclosure requirements, and remedial actions that it should take in response to results.
a. True
b. Fals
e
ANSWER: True
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.08 - Explore the role of the ethics audit
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:40 PM
DATE MODIFIED: 8/18/2021 6:41 PM
53. A performance management tool that details a company’s performance through financial and nonfinancial
perspectives, giving management a comprehensive view of the business, is called _______.
a. Global Reporting
Initiative
b. ESG
c. the ethics scoreboard
d. the balanced scorecard
e. the triple bottom line
ANSWER: d
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.10 - Identify integrity measurement frameworks
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
Copyright Cengage Learning. Powered by Cognero. Page 27
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:41 PM
DATE MODIFIED: 8/18/2021 6:43 PM
54. Which of the following provides international guidelines for compliance management?
a. ESG
b. Open Compliance Ethics Group
c. Balanced Scorecard
d. ISO 19600
e. Global Reporting Initiative
ANSWER: d
POINTS: 1
DIFFICULTY: Easy
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.10 - Identify integrity measurement frameworks
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:43 PM
DATE MODIFIED: 8/18/2021 6:48 PM
55. The measuring of social, financial, and environmental factors (or people, places, and planet) that recognizes business
has a responsibility to positively influence a variety of stakeholders, including customers, employees, shareholders,
community, and the natural environment is defined as the _______.
a. Balanced Scorecard
b. integrity management
c. triple bottom line
d. ESG
e. Global Reporting
Initiative
ANSWER: c
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-8 The Ethics Audit
QUESTION TYPE: Multiple Choice
HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.10 - Identify integrity measurement frameworks
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Copyright Cengage Learning. Powered by Cognero. Page 28
Responsibilities
DATE CREATED: 8/18/2021 6:45 PM
DATE MODIFIED: 8/18/2021 6:46 PM
56. Identify the consequences of companies being viewed as moral agents.
ANSWER: Increasingly, corporations are viewed not merely as profit-making entities but
also as moral agents accountable for their conduct to their stakeholders—
including employees, investors, suppliers, governments, and customers. As moral
agents, companies are required to obey the laws and regulations that define
acceptable business conduct. Employees have an ethical obligation to responsibly
think through complex ethical issues to contribute to the ethical conduct of the
corporation as a whole. Though obviously not a person, a corporation can be
considered a moral agent in society created to perform specific social functions. It
is therefore responsible to society for its actions. Because corporations have
characteristics of agents, responsibility for ethical behavior is assigned to them as
legal entities, as well as to individuals or work groups they employ.
POINTS: 1
DIFFICULTY: Moderate
REFERENCES
:
9-1 The Responsibility of the Corporation to Stakeholders
QUESTION TY
PE:
Essay
HAS VARIABL
ES:
False
STUDENT EN
TRY MODE:
Basic
LEARNING O
BJECTIVES:
BE.FERR.13.ChO.09.09 - Explore the stages of the ethics-auditing process
NATIONAL ST
ANDARDS:
United States - BUSPROG: Ethics - Ethics
STATE STAND
ARDS:
United States - None - DISC: Ethical Responsibilities - Ethical Responsibilities
DATE CREAT
ED:
8/18/2021 6:46 PM
DATE MODIFI
ED:
8/18/2021 6:53 PM
57. Which of the following are responsibilities of an ethics officer? (Select four)
a. Assessing the needs and risks an organization-wide ethics program must address
b. Developing and distributing a code of conduct or ethics
c. Reviewing and updating the code of conduct or ethics
d. Conducting training programs for employees
e. Operating the ethics hotline
ANSWER: a, b, c, d
POINTS: 1
DIFFICULTY: Moderate
REFERENCES: 9-5 Ethics Officers
QUESTION TYPE: Multiple Response
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HAS VARIABLES: False
LEARNING OBJECTIVE
S:
BE.FERR.13.ChO.09.05 - Understand the role of the ethics officer
NATIONAL STANDARD
S:
United States - BUSPROG: Ethics - Ethics
STATE STANDARDS: United States - None - DISC: Ethical Responsibilities - Ethical
Responsibilities
DATE CREATED: 8/18/2021 6:48 PM
DATE MODIFIED: 8/18/2021 6:50 PM
58. Describe the ESG framework.
ANSWER: The most widely used framework for evaluation of firm performance in the areas
of environmental, social, and governance is ESG. The environmental
considerations include issues related to climate change, natural resources, and
pollution and waste. The considerations include how you treat key social
stakeholders (human capital), product liability, potential stakeholder opposition,
and varying social opportunities. relates to corporate governance andGovernance
corporate positive (e.g., business ethics programs and transparency) and negative
behavior (e.g., anticompetitive behavior and corruption).
POINTS: 1
DIFFICULTY: Moderate
REFERENCES
:
9-8 The Ethics Audit
QUESTION TY
PE:
Essay
HAS VARIABL
ES:
False
STUDENT EN
TRY MODE:
Basic
LEARNING O
BJECTIVES:
BE.FERR.13.ChO.09.10 - Identify integrity measurement frameworks
NATIONAL ST
ANDARDS:
United States - BUSPROG: Ethics - Ethics
STATE STAND
ARDS:
United States - None - DISC: Ethical Responsibilities - Ethical Responsibilities
DATE CREAT
ED:
8/18/2021 6:51 PM
DATE MODIFI
ED:
8/18/2021 6:52 PM
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