FGCU BUL 3130 Exam Fully Tested And
Verified
All business leaders and academics agree that the primary ethical and legal duty of corporations is to
maximize shareholder value.
False
The __________ Act illustrates that corporate conduct violating society's expectations can result in
new forms of regulation without regard for feasibility or cost.
Dodd-Frank Wall Street Reform and Consumer Protection
Which of the following is true regarding shareholder primacy?
It is legally mandated only in very narrow circumstances.
According to St. Thomas Aquinas, only laws that followed __________ were true and just.
eternal law
Nobel prize winner Milton Friedman asserts that "social responsibility" is a fundamentally
__________ doctrine.
subversive
Which of the following is true regarding the growth of socially responsible mutual funds?
Both America and Europe have seen growth in socially responsible funds.
The Deontological theory focuses on the consequences of an action rather than on the motivation of
the individual.
False
The Organization of Economic Cooperation and Development (OECD) is:
comprised of nations form North America, Europe, and Asia-Pacific.
Under the Teleological theory, the ethical good of an action is judged by the effect of the action on
others.
True
Some companies, like Nike and Adidas, are now auditing supplier working conditions and posting the
results at the Fair Labor Association website.
True
Which of the following international organizations adopted a convention criminalizing bribes to
government officials and recommending a prohibition on the tax deductibility of bribes?
The Organization of Economic Cooperation and Development
If a company employee chooses to follow orders (and breaks the law) the fact that his supervisor
ordered him to do so is a complete defense at a criminal trial.
False
, The two main schools of ethical thought are teleological and deontological.
True
The obligation of a company's directors to manage the corporation for the best interest of the
__________ is recognized as the primary obligation of directors of a corporation.
corporation
Rawlsian moral theory seeks to maximize the condition of the worst off person in society.
True
Which of the following is a psychological disorder referenced in the text resulting in a lack of empathy
and the inability to recognize boundaries?
Narcissistic personality disorder
A __________ statute is a state statute authorizing boards of corporations to take into account all
stakeholders and constituencies even when a change in control or breakup of the corporation has
become inevitable.
constituency
The European Union's center of operations is in Brussels, Belgium.
True
The __________ approach recognizes that "business decisions consist of continuous, interrelated
economic and moral components."
systems
Based on Exhibit 1.7, which of the following is NOT a way in which U.S. law promotes consumer
welfare?
Collect taxes and spend money
Legally astute management teams practicing strategic compliance management:
view the cost of complying with government regulation is viewed as an investment, not an expense.
In CASE 1.1 Sorrell v. IMS Health Inc., drug manufacturers challenged as unconstitutional a Vermont
statute prohibiting pharmacies form selling prescriber-identifying information for marketing
prescription drugs without the consent of prescribers. The U.S. Supreme Court ruled that:
the conduct prohibited by the law was protected by the First Amendment and that the law was
unconstitutional.
The __________ is an advocacy group that has commended Disney's new advertising and marketing
guidelines for children.
Center for Science in the Public Interest
Verified
All business leaders and academics agree that the primary ethical and legal duty of corporations is to
maximize shareholder value.
False
The __________ Act illustrates that corporate conduct violating society's expectations can result in
new forms of regulation without regard for feasibility or cost.
Dodd-Frank Wall Street Reform and Consumer Protection
Which of the following is true regarding shareholder primacy?
It is legally mandated only in very narrow circumstances.
According to St. Thomas Aquinas, only laws that followed __________ were true and just.
eternal law
Nobel prize winner Milton Friedman asserts that "social responsibility" is a fundamentally
__________ doctrine.
subversive
Which of the following is true regarding the growth of socially responsible mutual funds?
Both America and Europe have seen growth in socially responsible funds.
The Deontological theory focuses on the consequences of an action rather than on the motivation of
the individual.
False
The Organization of Economic Cooperation and Development (OECD) is:
comprised of nations form North America, Europe, and Asia-Pacific.
Under the Teleological theory, the ethical good of an action is judged by the effect of the action on
others.
True
Some companies, like Nike and Adidas, are now auditing supplier working conditions and posting the
results at the Fair Labor Association website.
True
Which of the following international organizations adopted a convention criminalizing bribes to
government officials and recommending a prohibition on the tax deductibility of bribes?
The Organization of Economic Cooperation and Development
If a company employee chooses to follow orders (and breaks the law) the fact that his supervisor
ordered him to do so is a complete defense at a criminal trial.
False
, The two main schools of ethical thought are teleological and deontological.
True
The obligation of a company's directors to manage the corporation for the best interest of the
__________ is recognized as the primary obligation of directors of a corporation.
corporation
Rawlsian moral theory seeks to maximize the condition of the worst off person in society.
True
Which of the following is a psychological disorder referenced in the text resulting in a lack of empathy
and the inability to recognize boundaries?
Narcissistic personality disorder
A __________ statute is a state statute authorizing boards of corporations to take into account all
stakeholders and constituencies even when a change in control or breakup of the corporation has
become inevitable.
constituency
The European Union's center of operations is in Brussels, Belgium.
True
The __________ approach recognizes that "business decisions consist of continuous, interrelated
economic and moral components."
systems
Based on Exhibit 1.7, which of the following is NOT a way in which U.S. law promotes consumer
welfare?
Collect taxes and spend money
Legally astute management teams practicing strategic compliance management:
view the cost of complying with government regulation is viewed as an investment, not an expense.
In CASE 1.1 Sorrell v. IMS Health Inc., drug manufacturers challenged as unconstitutional a Vermont
statute prohibiting pharmacies form selling prescriber-identifying information for marketing
prescription drugs without the consent of prescribers. The U.S. Supreme Court ruled that:
the conduct prohibited by the law was protected by the First Amendment and that the law was
unconstitutional.
The __________ is an advocacy group that has commended Disney's new advertising and marketing
guidelines for children.
Center for Science in the Public Interest
