Reese Has Recently Joined PharmaTec, a Large Pharmaceutical Firm, as a Sales

question 47

Multiple Choice

Reese has recently joined PharmaTec, a large pharmaceutical firm, as a sales representative. During his interview, he was surprised that no one wanted to talk about why the previous sales rep suddenly left the company. However, today he has just been "briefed" on the recent lawsuit one of the physician's has filed against PharmaTec concerning the lack of information he received from the company about the negative effects of one of its cholesterol drugs. Reese's sales manager has demanded that if he comes across any documentation in the former sales representative's office about visits with the physician, that Reece is to not say anything to anyone and notify the manager immediately. Reese certainly doesn't want to jeopardize his new, and potentially profitable, job. He has identified four possible courses of action he could take. He knows he should evaluate each possible action with which of the following criteria in order to choose the one most appropriate?

• A)its level of positive or negative impact on PharmaTec's reputation
• B)its potential to increase (or decrease) PharmaTec's profit
• C)whether the action is inherently right or wrong
• D)whether he will be appreciated or unappreciated by his coworkers afterward
• E)whether it will be courageous or cowardly on his part

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Definitions:

Straight-Line

A method of calculating depreciation of an asset, where its cost is evenly spread over its useful life.

After-Tax Lease Payment

Lease payments after accounting for taxes, reflecting the net cost to the lessee.

Tax Rate

The proportion of income or profit taken by the authorities as tax from a person or company.