How Can Companies Discourage Unethical Behavior in Their Employees

question 79

Multiple Choice

How can companies discourage unethical behavior in their employees?

• A)By disciplining repeat offenders in private
• B)By conducting regular audits and random spot checks
• C)By not adopting a formal code of ethics
• D)By not giving their board of directors more power than the CEOs

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Definitions:

Operating Expenses

Ongoing expenses related to the operation of a business, excluding the costs of goods sold.

Average Operating Assets

The average value of the assets used by a business in its operational activities over a period of time, used to measure efficiency and profitability.

Interest Expense

The cost incurred by an entity for borrowed funds, including loans, bonds, or lines of credit.

Tax Expense

The total amount of taxes a company incurs on its taxable income, including federal, state, and local taxes.