Which of the Following Is FALSE as It Concerns the Merits

question 17

Multiple Choice

Which of the following is FALSE as it concerns the merits of why acting in a socially responsible manner is good business?

• A) The higher the public profile of a company or brand, the greater the scrutiny of its activities and the higher the potential for it to become a target for pressure group action.
• B) Acting in a socially responsible manner nearly always results in higher profits and a higher stock price for shareholders.
• C) To the extent that a company's socially responsible behavior wins applause from consumers and fortifies its reputation, a company may win additional patronage.
• D) Some employees feel better about working for a company committed to improving society-a condition that can contribute to lower turnover and better worker productivity.
• E) Companies with deservedly good reputations for contributing time and money to the betterment of society are better able to attract and retain employees compared to companies with tarnished reputations.

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Definitions:

Utility

In economics, utility means the total satisfaction received from consuming a good or service.

Competitive Equilibrium

is a condition in a market where supply equals demand, with prices becoming stable at this point.

Capital Input

The resources used in the production process, including buildings, machinery, and equipment.

Labor Input

The total hours of work or number of workers employed in the production of goods and services.