Which of the Following Is an Argument Against Social Responsibility

question 118

Multiple Choice

Which of the following is an argument against social responsibility?

• A) Business has resources needed to tackle today's complex social issues.
• B) Because business is a part of our society, it cannot ignore social issues.
• C) Corporate time, money, and talent should be used to maximize profits.
• D) By helping resolve social issues, business can create a more stable environment.
• E) Socially responsible decision making by firms can prevent increased government intervention.

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Definitions:

Sharpe Measure

A ratio used to evaluate the risk-adjusted performance of an investment, considering both the return and the volatility of the investment.

Risk-Free Return

The theoretical return on investment with no risk of financial loss, typically associated with government bonds.

Standard Deviations

A statistical measure that quantifies the dispersion or spread of a set of data points relative to its mean, often used in the context of investment returns to measure volatility.

Geometric Average Return

An average rate of return on an investment that compounds over time, calculated by taking the nth root of the total products of returns.