QUESTION Under the Sarbanes-Oxley Act, who is required to personally certify the financial reports of an organization? A) chief executive officer B) chief financial officer C) chief executive officer and chief financial officer D) chief financial officer and board chairman E) chief executive officer and board chairman ANSWER Answer: C Explanation: C) This provision […]
QUESTION The Public Company Accounting Oversight Board created by the Sarbanes-Oxley Act is granted authority under what government entity? A) Department of Commerce B) Securities and Exchange Commission C) Department of Homeland Security D) Consumer Protection and Safety Commission E) Department of the Treasury ANSWER Answer: B Explanation: B) The commission is charged with […]
QUESTION What is Sarbanes-Oxley an example of? A) compliance-based ethics code B) integrity-based ethics code C) state regulation D) federal law E) federal regulation ANSWER Answer: D Explanation: D) The Sarbanes-Oxley Act is a law passed by Congress in 2002 to strengthen oversight of corporate practices.
QUESTION Who argued against corporate social responsibility by contending that the only social responsibility of a business is to create jobs and expand economic growth? A) Alan Greenspan B) Andrew Carnegie C) Milton Friedman D) Bill Gates E) Paul Samuelson ANSWER Answer: C Explanation: C) In a famous 1970 article, the late economist Friedman […]
QUESTION Which of the following is NOT an argument in favor of corporate social responsibility (CSR)? A) Businesses have resources unavailable to nonprofits. B) Business provides sufficient social value by creating jobs. C) Business creates social problems and should help solve them. D) Businesses are not separate from society. E) Businesses practicing CSR can limit […]
QUESTION Who sets the tone for ethical behavior in the workplace? A) ethics officer B) rank-and-file employees C) board of directors D) human resources director E) top management ANSWER Answer: E Explanation: E) Top managers lead by example by practicing ethical behavior in an organization.
QUESTION Which of the following statements is a logical argument in favor of corporate social responsibility? A) “Companies have no relation to society.” B) “Companies are legally bound to support society.” C) “Companies are not separate from society.” D) “Companies are not a component of society.” E) “Companies do not contribute to society.” ANSWER […]
QUESTION Holly is a top manager at her company. What is likely to be the most effective way for Holly to support an ethical climate in her organization? A) hire an ethics officer B) establish compliance-based ethics codes C) establish integrity-based ethics codes D) hire reputable employees E) lead by example ANSWER Answer: E […]
QUESTION Who plays the most valuable role in supporting and implementing corporate social responsibility (CSR)? A) shareholders B) human resources departments C) accountants D) the government E) top managers ANSWER Answer: E Explanation: E) Primarily it’s top managers who set CSR goals and promote participation.
QUESTION Georgia is the head of human resources at her company and wants to implement policies toward hiring honest, responsible employees. Which of the following is NOT a useful strategy for Georgia to implement to ensure this goal? A) limit candidates to referrals from existing employees B) conduct a battery of personality tests with candidates […]
