Which of the Following Constitutes Ethical Information

question 7

Multiple Choice

Which of the following constitutes ethical information?

• A) A restaurant using photos on its website of dishes that it does not serve
• B) A manufacturer of cell phones asking its sales team to post favourable product reviews on social media
• C) A company paying customers to recommend its products to their friends
• D) A vendor including only essential information in promotional material mailed out to customers

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Definitions:

Liquidation

The process of bringing a business to an end and distributing its assets to claimants, often associated with bankruptcy or dissolution.

Income Statement

A financial statement that shows a company’s revenues and expenses, and resulting profit or loss, over a specific period of time.

Reorganization

The process by which a company restructures its operations, policies, or structure to improve efficiency and address issues.

Reorganization Proposal

A plan submitted by a company to its creditors and shareholders outlining how it intends to restructure its debt and operations to exit financial distress.