A Six-Step Approach Is Often Used to Resolve an Ethical

question 58

Multiple Choice

A six-step approach is often used to resolve an ethical dilemma. The first step in this process is to

• A) identify the alternative actions available.
• B) identify the ethical issues from the facts.
• C) determine who will be affected by the outcome of the dilemma.
• D) obtain the relevant facts.

---

Definitions:

Net Present Value

The difference between the present value of cash inflows and the present value of cash outflows over a period, used in capital budgeting to assess the profitability of an investment.

Simple Rate

A basic form of interest calculation representing a percentage of the principal amount over a certain period of time.

Payback Period

The payback period is the duration of time it takes to recover the cost of an investment. This metric is commonly used to assess the feasibility or profitability of a project.

Straight-Line Method

A method of calculating depreciation or amortization that allocates evenly the cost of an asset over its useful life.