All of the Following Are Important Factors in the Creation

question 64

Multiple Choice

All of the following are important factors in the creation of an ethical business climate EXCEPT ____.

• A)personal examples set by company management
• B)official approval of a company's ethics code by government regulators
• C)fair but consistent punishment of violators
• D)a reporting system that encourages whistleblowers to report potential ethics violations
• E)top management's active involvement in an ethics training program

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Definitions:

Actual Cost

The actual amount spent on goods, services, or other expenses, as opposed to budgeted or standard costs, including all direct and indirect costs.

Principle of Exceptions

A management principle focusing on identifying and addressing areas that significantly deviate from the norm or expected results, often utilizing reporting and analysis.

Variances

Differences between planned amounts and actual amounts incurred in operations, budgets, or financial projections.

Standard Costs

Preset costs for the manufacturing or production of goods under normal conditions, used for budgeting and measuring performance.