An Executive Decides to Meet Environmental Protection Agency Emissions Requirements

question 101

Multiple Choice

An executive decides to meet Environmental Protection Agency emissions requirements although it reduces company profit. The executive believes that, if all companies followed the laws, we would share a cleaner environment. This executive is using which ethics theory?

• A) Individual ethical egoism.
• B) Universal ethical egoism.
• C) Act utilitarianism.
• D) Rule utilitarianism.

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Definitions:

Break-even Point

The level of sales at which total revenues equal total costs, resulting in no net profit or loss.

Break-even

The moment total expenditure equals total earnings, resulting in neither a financial gain nor a loss.

Monthly Unit Sales

The total number of individual items or products sold by a business during a month.

Break Even

The moment when the sum of all expenses equals the sum of all revenues, eliminating any profit or loss.