Which of the Following Do Proponents of the Broader View

question 28

Multiple Choice

Which of the following do proponents of the broader view of corporate social responsibility believe?

• A) Corporations should not internalize their externalities.
• B) Moral responsibility arises from social power.
• C) Businesses have other obligations besides making a profit.
• D) The modern corporation is not a social institution.

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Definitions:

Municipal Bonds

Bonds issued by local governments or their agencies, which are often used to fund public projects like schools, highways, and water systems, and may offer tax-exempt interest to investors.

Foreign Taxes Paid

This represents taxes paid to foreign governments on income earned outside of the taxpayer’s country of residence, often creditable against domestic taxes in the taxpayer’s home country to avoid double taxation.

Deferred Tax Liability

An accounting term that refers to a tax due in the future for income that has already been recognized in the financial statements.

Effective Tax Rate

The average rate at which an individual or a corporation is taxed, calculated by dividing the total amount of taxes paid by the taxable income.