LA Final exam chp 3 Pt 2 Making ethical business decisions

Question 1

To help corporate employees judge their actions, George S. May international company provides 6 basic guidelines to consider

Answer 1

1. the law
2. rules and procedures
3. values
   4.conscience
4. promises
5. heroes

Question 2

Is the action you are considering legal

Answer 2

the law

Question 3

are you following the internal rules and procedures that have already been laid out by your company

Answer 3

rules and procedures

Question 4

laws and internal company policies reinforce society’s values

Answer 4

values

Question 5

if you feel any guilt, let your conscience be your guide

Answer 5

conscience

Question 6

every business organization is based on trust

Answer 6

promises

Question 7

we will have heroes who are role models for us. Is what you plan on doing an action that your hero would take?

Answer 7

heroes

Question 8

One of the most important ways to create and maintain an ethical workplace is for

Answer 8

top-level management

Question 9

The attitude and behavior of each business manager and owner are

Answer 9

vital to a company’s ethical success or failure

Question 10

management behavior sets the

Answer 10

ethical tone of a firm, employees take their cues from management

Question 11

a manager who looks the other way when they know about an employees unethical behavior

Answer 11

sets an example

Question 12

Discharging an employee for ethical reasons has deterrent to unethical behavior in workplace

Answer 12

if management does not enforce company code, the code is basically non-existent

Question 13

Business owners and managers can play a big part in encouraging bad behavior thats

Answer 13

against the rules and morals

Question 14

requires companies to set up confidential systems so that employees and others can raise red flahs about suspected illegal or unethical auditing and accounting practices

Answer 14

The sarbanes-oxley act of 2002

Question 15

Corporate ethics officers and ethics committees require a practical method to investigate and solve specific ethics prolems and make

Answer 15

ethical business decision

Question 16

Leonard H. Bucklin of corporate ethics US has devised a procedure called

Answer 16

business process pragmatism

Question 17

business process pragmatism involves

Answer 17

inquiry, discussion, decision, justification, and evaluation

Question 18

An understanding of the facts must be initial action, the parties involved might be mass media, public, employees, or customers

Answer 18

Inquiry

Question 19

a list of action options is developed

Answer 19

discussion

Question 20

working together, those participating in the process craft a consensus decision

Answer 20

decision

Question 21

At this point of process, reasons should be attached to each proposed action or series of actions

Answer 21

Justification

Question 22

Consensus resolution to the corporate ethics problem withstand the moral scrutiny of the decisions taken and the process used to reach those decision

Answer 22

evaluation

Question 23

Many U.S businesses now contract with companies in developing nations to produce goods because

Answer 23

the wage rates in those nations are significantly lower than the wages in the US

Question 24

Given today’s global communications network, a few companies can assume that their actions in other nations will go unnoticed by “corporate watch” groups that

Answer 24

discover and publicize unethical corporate behavior

Question 25

Another ethical problem in international business dealing has to do with the legitimacy of certain “side”

Answer 25

payments to government officials

Question 26

In many countries, government regulation and control over trade and industry are much more extensive than in the US

Answer 26

so governemnt officials make the decisions on most major construction and manufacturing contracts

Question 27

Side payments to government officials in exchange for favorable business contracts are not unusual in such countries,

Answer 27

where they aren’t considered to beunethical

Question 28

Prohibits U.S. businesspersons from bribing the foreign officials to secure advantageous contracts

Answer 28

foreign corrupt practices act

Question 29

The foreign corrupt practices act does not say you cant give big amounts of money to small gov. workers who just do basic tasks

Answer 29

these payments are sometimes called grease or helping payments

Question 30

The foreign corrupt practices act also doesnt stop companies from paying private foreign companies or other unless they know the money will

Answer 30

end up going ot a foreign government against the FCPA rules

Question 31

All companies must keep detailed records that “accurately and fairly” reflect the company’s

Answer 31

financial activities

Question 32

all companies must have an accounting system that provides

Answer 32

reasonable assurance, that all transactions entered into by the company are accounted for and legal

Question 33

The FCPA further prohibits any person from making false statements to accountants or

Answer 33

false entries in any record or account