Which of the Following Statements Correctly Describes Ethical and Unethical

question 75

Multiple Choice

Which of the following statements correctly describes ethical and unethical behavior?

• A) Ethical behavior is good, right, just, and honorable.
• B) Unethical behavior is wrong, unjust, and dishonorable.
• C) One uses principles, rules, or guides from a specific ethics theory to judge right and wrong.
• D) Each answer correctly describes ethical and unethical behavior.

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Definitions:

Paid-in Capital

The amount of money that a company has received from shareholders in exchange for shares of stock.

Stock Dividend

A form of dividend payment made in shares rather than cash, which increases the number of shares held by each shareholder.

Retained Earnings

The portion of a company's accumulated net income that is not distributed to shareholders as dividends but is kept as reserves for reinvestment in the business operations.

Stock Dividend

A payment made by a corporation to its shareholders in the form of additional shares, rather than cash.