Dennis Works as a Sales Representative for a Tractor Manufacture

question 71

Multiple Choice

Dennis works as a sales representative for a tractor manufacture.The particular line of tractors he sells is of high quality; however, it has an expensive service schedule that increases operating costs.Dennis's employer insists that all sales include a signed agreement from the customer acknowledging that the sales person has provided this information to the customer.Dennis follows this sales process only because if he does not, he will be fired.Which of the following moral development levels best describes Dennis?

• A)principled
• B)consensual
• C)conventional
• D)discretionary
• E)preconventional

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Definitions:

Business Risk

The exposure a company or investor has to factor(s) that will lower its profits or lead to a loss.

Financial Risk

Financial risk is the possibility of losing money on investments or business operations due to market fluctuations, credit issues, or other financial uncertainties.

Degree of Total Leverage

A financial ratio that measures the sensitivity of a company's earnings per share to fluctuations in its operating income, considering both operating and financial leverage.

Financial Risk

The possibility of losing money on an investment or business venture, including various types of risks like market risk, credit risk, and operational risk.