In Terms of a Firm's Social Obligations, Which of the Following

question 42

Multiple Choice

In terms of a firm's social obligations, which of the following is true of philanthropic responsibility?

• A)It refers to a firm's obligation to abide by the unwritten ethical standards, norms, and values of the communities in which it operates.
• B)It refers to a firm's obligation to generate economic profits.
• C)It refers to a firm's obligation to obey the written and codified laws of the countries in which it operates.
• D)It refers to a firm's obligation to contribute to the enhancement of the communities in which it operates.

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Definitions:

Warranty

A guarantee provided by a seller to a buyer that a product will meet certain specifications or that defective products will be repaired or replaced.

Contingent Liability

A future financial liability that could arise based on the result of a certain event.

Payroll Register

A detailed document recording the payroll information of all the employees in a company, including wages, deductions, and net pay for each pay period.

Net Pay

The amount of an employee's earnings after all deductions, such as taxes and retirement contributions, have been subtracted.