A Corporation That Operates Ethically Will Notice Certain Benefits as It

question 74

Multiple Choice

A corporation that operates ethically will notice certain benefits as it applies to shareholder wealth maximization.With shareholder wealth maximization in mind, all of the following could be experienced by an ethical corporation EXCEPT:

• A)The corporation can expect to have reduced litigation expense.
• B)The cooperation can expect to have greater agency costs.
• C)The corporation can expect to have reduced damages expenses.
• D)The corporation can expect to have a more favorable impression by customers and investors.

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Definitions:

Punitiveness

The quality or tendency of being punitive; inclined to punish or impose penalties.

War on Drugs

An American-led global campaign of prohibition and foreign military aid and military intervention, with the aim of reducing the illegal drug trade.

Declared

Means to make a statement or announcement in a public, official, or definitive way.

Sentencing Policy

Guidelines and laws that determine the type and severity of punishment for crimes.