Which of the Following Is NOT One of the Four

question 29

Multiple Choice

Which of the following is NOT one of the four types of responsibilities for small businesses, as identified by business ethics and morality scholar Archie Carroll?

• A) Economic
• B) Discretionary
• C) Legal
• D) Fiscal

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Definitions:

Gross Margin

The difference between sales revenue and cost of goods sold, representing the fundamental profit derived from trading activities, before deduction of operating expenses.

Operations

Activities involved in the day-to-day running of a business for the purpose of producing value for the stakeholders.

Variable Costing

An accounting method that includes only variable production costs—direct materials, direct labor, and variable manufacturing overhead—in the cost of goods sold.

Absorption Costing

A calculation approach that encompasses all expenses of production, such as materials, labor, and all overheads, both variable and fixed, in determining a product's price.