Which of the Following Statements About the Costs and Benefits

question 3

Multiple Choice

Which of the following statements about the costs and benefits of unethical behaviour is not true?

• A) The benefits of unethical behaviour are nearly always material
• B) The costs of unethical behaviour are nearly always material
• C) The penalties for unethical behaviour are not imposed in many cases
• D) A cost of unethical behaviour may be the loss of freedom of choice in future decisions about whether to act ethically

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Definitions:

Unit Price

The cost assigned to a single unit of a product or service.

Journal Entries

Records of financial transactions in a company’s accounting system, providing a chronological record.

Periodic Inventory System

An inventory system that updates inventory balance after a certain period, typically incorporating physical counts to determine cost of goods sold.

Cost of Goods Sold

Directly incurred costs for materials and labor necessary for the production of goods a business sells.