What Is the Most Fundamental Ethical Issue in Advertising

question 74

Multiple Choice

What is the most fundamental ethical issue in advertising?

• A)exaggeration, which is a serious but increasingly common practice
• B)taste, particularly regarding society's exposure to offensive messages
• C)materialism, which also is a key legal issue
• D)deception, particularly false or misleading statements

---

Definitions:

Net Income

The final profit of a company calculated by deducting all expenses and taxes from its revenue.

Common-Sized Financial Statement

A financial statement in which each line item is expressed as a percentage of a certain base figure, facilitating comparison across periods or companies.

Percentage

A fraction or ratio expressed as a part of 100.

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations with its current assets over its current liabilities.