EXAM QUESTIONS AND CORRECT ANSWERS
Question 1
An organization plans to close its local factory and shift manufacturing operations overseas. This brings opposition from
employees. Which terms describes this organizational move?
Correct Answer
legal-ethical
Question 2
Individual authors wrote books about the negative environmental impacts of some industries, including the coal industry.
Which benefit did the authors' work have on society?
Correct Answer
It drew the public's attention to the targeted issue.
Question 3
The accountant of a company was asked to change the current quarterly sales results by adding sales that were set to
occur next quarter. Which stakeholder group is directly impacted by this action?
Correct Answer
shareholders
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,Question 4
A new manager in a restaurant decides to cut costs by purchasing sub-standard materials. What are the implications of this
manager's actions?
Correct Answer
The customer base of the restaurant will decrease.
Question 5
A U.S. company hires a new employee from Germany. The new employee is being trained by other employees on the
company's conflict resolution practices in alignment with the company's mission and ethical standards. As part of the
training, the employee identifies how the ethical values of the company are consistent with the employee's values. Which
aspect of the company is the employee learning?
Correct Answer
Organizational culture
Question 6
A senior manager asks an employee to omit a key section from a financial report to hide some distressing data. Which
aspect of the organization is being violated by the manager's behavior?
Correct Answer
ethics
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,Question 7
An employee overhears an office manager telling a prospective client that the company does not work with people from a
particular ethnicity even though the company has a nondiscrimination policy. Which element is violated by the actions of
this office manager?
Correct Answer
Employee handbook guidelines
Question 8
A young, unmarried employee who is an only child has a conversation with an older, married employee with siblings about
the corporate decision to enter into a lucrative contract with a firm that legally supplies substandard medications to
developing countries. The two employees disagree as to whether the company's decision was ethical. What is the primary
demographic trait that influences the values of these employees?
Correct Answer
age
Question 9
A corporation's code of ethics endorses a green work place. Which employee activity models this code?
Correct Answer
Starting an office recycling program
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, Question 10
A company advertises that it uses environmentally safe practices in all business processes; however, the chief financial
officer (CFO) has blocked the adoption of many environmentally safe practices because of the additional costs to the
company .Which controversial business practice is this company using?
Correct Answer
greenwashing
Question 11
Which organizational department is responsible for managing receivables and payables for a company?
Correct Answer
Accounting and finance
Question 12
Which function is performed by the information technology department of an organization?
Correct Answer
Computer installation
Question 13
Which organizational department is responsible for maintaining compliance with labor laws?
Correct Answer
Human resources
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