The Code of Conduct Adopted by the Institute of Management

question 47

Multiple Choice

The Code of Conduct adopted by the Institute of Management Accountants:

• A) Strongly encourages external whistleblowing
• B) Discourages external whistleblowing
• C) Requires its members, prior to becoming external whistleblowers, to first determine with a high degree of certainty that a violation of law has occurred
• D) Frequently has been criticized by commentators for failing to provide any guidance on when members should, or should not, be external whistleblowers

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Definitions:

Average Fixed Costs

The total fixed costs of production divided by the number of units produced, representing the fixed cost per unit of output.

Total Costs

encompass all expenses incurred in the production of goods or services, including both fixed and variable costs.

Output Expands

When the production of goods or services increases in response to market demand or other factors.

Fixed Cost

Costs that remain constant regardless of the level of production or sales, such as lease payments and salaries.