TEST 1 CHAPTER 4

Question 1

An ethical principle guided. by what will result in the greatest good for the greatest number of people

Answer 1

Utilitarian Approach

Question 2

This approach is guided by what will result in the individual’s best long-term interests, which ultimately are in everyone’s self-interest.

Answer 2

Individual Approach

Question 3

This approach is guided by respect for the fundamental rights of human beings such
as life, liberty, and pursuit of happiness.

Answer 3

Moral Rights Approach

Question 4

This approach is guided by respect for impartial standards of fairness and equity.

Answer 4

Justice approach

Question 5

Theory of corporate. social responsibility that holds that managers are agents of shareholders whose primary objective is to maximize profits

Answer 5

Shareholder model

Question 6

Theory of corporate social responsibility that suggests that managers are obliged to look beyond profitability to help their organizations succeed by interacting with groups that have a stake in the organization

Answer 6

Stakeholder model

Question 7

Company mechanisms typically designed by corporate counsel to prevent, detect, and punish legal violations

Answer 7

Compliance-based ethics programs

Question 8

Company mechanisms designed to instill in people a personal responsibility for ethical behavior

Answer 8

Integrity-based ethics programs

Question 9

An act that established strict accounting and reporting rules to make senior managers more accountable and to improve and maintain investor confidence

Answer 9

Sarbanes-Oxley Act

Question 10

Ethical Decision Making takes (1) Moral _______, (2) Moral ________, and (3) Moral
_________

Answer 10

Awareness, judgement, and character