Which of the Following Is a Level 2 Cost of Ethical

question 2

Multiple Choice

Which of the following is a Level 2 cost of ethical failure?

• A) Government fines and penalties.
• B) Legal and investigative costs.
• C) Customer defections.
• D) Loss of reputation.
• E) Employee cynicism.

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Definitions:

Psychological Capital

An individual's positive psychological state, characterized by high self-efficacy, optimism, hope, and resilience.

Self-esteem

An individual's overall subjective emotional evaluation of their own worth or value.

Self-efficacy

It refers to an individual's belief in their own ability to complete tasks and reach goals.

Socially Responsible

Acting in ways that benefit society at large, including ethical considerations towards people, communities, and the environment in decision-making processes.