"A Business Is Not a Person," Bill Argued

question 3

Multiple Choice

"A business is not a person," Bill argued."It is not possible to impose moral sanctions on businesses like you would on a person." Bill's position is compatible with which view of social responsibility?

• A)Amoral
• B)Personal
• C)Social
• D)B and C,but not A
• E)None of the answers.

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Definitions:

Residual Income

A measure of performance and profitability calculated as the net operating income after deducting a charge for the cost of capital.

Investment Centre Performance

An evaluation of a business unit's profitability and efficiency in managing its assets to generate profits.

Organisation's Minimum Required Rate Of Return

The lowest acceptable return on investment that an organization deems necessary, reflecting its risk tolerance and financial objectives.

Capital Invested

The total amount of money that has been put into a company's projects, assets, or business endeavors to generate growth or profits.