Adoption of Which of the Following Ethical Approaches Is Most

question 15

Multiple Choice

Adoption of which of the following ethical approaches is most likely to cause a company to use tools such as cost-benefit analysis and risk assessment to weigh all of the social benefits and costs of a business action?

• A)Naive immoralism
• B)Friedman doctrine
• C)Ethnocentrism
• D)Utilitarianism
• E)Righteous moralism

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Definitions:

Fixed Assets

Long-term tangible assets used in the operation of a business that are not likely to be converted to cash within one year.

Capital Expenditures

Financial resources dedicated by a corporation towards the acquisition, betterment, and maintenance of real assets, like real estate, industrial plants, or machinery.

Collections

The process of obtaining payment of invoices owed by customers.

Insurance Premium

The amount paid periodically to an insurance company in exchange for coverage.