Which of the Following Statements Is True of Ethical Decision

question 73

Multiple Choice

Which of the following statements is true of ethical decision making?

• A) Customers are often regarded as the least important stakeholder group.
• B) Communities, societies, and nations are independent of the effects of the decisions made by companies.
• C) The failure of a company can have catastrophic effects on a community since a general decline in business activity can affect a whole nation.
• D) The results of ethical behavior are loss of reputation and resources, and skilled managers and employees leaving the company.
• E) When making business decisions, managers must exclusively consider the claims of stockholders.

Recognize the importance and methods of analyzing a company's performance and financial condition over time.

Understand the significance of financial ratios in evaluating a company's performance.

Identify key financial ratios including price-earnings ratio and dividend yield.

Describe different ways financial ratios can be expressed.

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Definitions:

Brightness

The perception of how light or dark a color appears; a quality of visual experience that varies with lighting conditions.

Optic Nerve

The cranial nerve that transmits visual information from the retina to the brain, playing a crucial role in the sense of sight.

Visual Information

Data that is perceived through sight, including shapes, colors, and movements.

Retina

The light-sensitive layer of tissue at the back of the inner eye, which converts light images into nerve signals sent to the brain.