In a Business Setting, Managers Sometimes Do Not Realize They

question 46

Multiple Choice

In a business setting, managers sometimes do not realize they are behaving unethically, primarily because they

• A) fail to take into account the ethical dimension of business decisions.
• B) ignore business variables such as cost, delivery, and product quality.
• C) have a strong system of personal ethics.
• D) abide by the concept of noblesse oblige.
• E) believe that social investments made by their companies can always compensate for their unethical actions.

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Definitions:

Selling

The process of promoting and transferring goods or services to customers in exchange for money.

Administrative Expense

Costs related to the general operation of a company, such as salaries of executive officers, legal and corporate office expenses.

Planning Budget

A budget designed for a particular level of activity, used for planning purposes at the beginning of a period.

Spending Variance

The difference between the actual amount spent and the budgeted amount in a specific period.