The School of Ethical Relativism Holds That

question 59

Multiple Choice

The school of ethical relativism holds that

• A)what constitutes ethical or unethical conduct should be determined by the religious convictions of each society or each culture within a country.
• B)when there are cross-country or cross-cultural differences in what is deemed ethical or unethical in business situations, it is appropriate for local moral standards to take precedence over what the ethical standards may be elsewhere.
• C)concepts of right and wrong are always governed by business norms in each country, culture, or society.
• D)concepts of right and wrong are always a function of each individual's own set of values, beliefs, and ethical convictions.
• E)concepts of right and wrong as they apply to business behavior are always absolute and usually more stringent than universal ethical principles.

Understand the concept and calculation of the Net Present Value (NPV) and its importance in investment decisions.

Comprehend the Internal Rate of Return (IRR) and its application in comparing project viability.

Know how to use the Profitability Index (PI) to rank investment projects under capital constraints.

Understand the concepts and differences between mutually exclusive and independent projects.

---

Definitions:

Tendency To Help

An inclination or natural propensity in humans to provide assistance or aid to others in need.

Altruism

Unselfish concern for the welfare of others; selflessness.

Reward

A stimulus given to a person or an animal to encourage a particular behavior, reinforcing the behavior's occurrence.

Conformity

The practice of aligning one’s attitudes, beliefs, and actions with the norms or policies of a group.