A Business That Fails to Comply with Its Own Privacy

question 59

Multiple Choice

A business that fails to comply with its own privacy policy:

• A)commits a crime.
• B)is behaving unethically but not illegally.
• C)is engaging in misleading or deceptive conduct.
• D)is negligent.

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Definitions:

Liability

An obligation a company owes to others, such as loans, accounts payable, or mortgages, which must be settled over time through the transfer of economic benefits.

Future Outflow

Projected cash payments or disbursements that a business expects to incur as a result of current operations or future activities.

Resources

Resources are materials, energy, services, staff, or other assets that are utilized to produce goods and services, effectively supporting business operations.

External Users

Individuals or entities outside a company, such as investors, creditors, regulators, and customers, who use the company's financial information to make decisions.