Which of the Following Is NOT True Regarding the Effect

question 77

Multiple Choice

Which of the following is NOT true regarding the effect of ethical standards on a company's strategy?

• A) An unethical strategy reflects badly on the character of the company personnel involved.
• B) A strategy that is unethical in whole or in part is morally wrong.
• C) Pursuing an unethical strategy damages a company's reputation and can have costly consequences.
• D) An ethical strategy is good business and is in the best interest of shareholders.
• E) An ethical strategy results in higher employee turnover.

---

Definitions:

Inflation

The pace at which the average cost of products and services escalates, causing the value of money to diminish.

Interest Rates

The proportion of a loan that is charged as interest to the borrower, typically expressed as an annual percentage rate.

Beta

A measure of the volatility, or systematic risk, of a security or portfolio compared to the market as a whole.

Portfolio

A diverse collection of financial investments like stocks, bonds, commodities, and real estate held by an individual or an institutional investor.