Which of the Following Is Not a Recognized Theory of the Social

question 96

Multiple Choice

Which of the following is not a recognized theory of the social responsibility of business?

• A) maximize profits
• B) moral minimum
• C) stakeholder interest
• D) corporate partisanship
• E) corporate citizenship

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Definitions:

Mark-Up

An amount added to the cost price of goods to cover overhead and profit.

Impairment Loss

The amount by which the carrying amount of an asset or cash-generating unit exceeds its recoverable amount, necessitating a write-down.

Effective Tax Rate

The average rate at which an individual or corporation is taxed, calculated by dividing the total taxes paid by the taxable income.

Equity Method

An accounting technique used to record investments in other companies, where the investment's value is adjusted for profits, losses, and dividends.