The Costs Incurred When Ethical Wrongdoing Occurs Fall into Three

question 40

Multiple Choice

The costs incurred when ethical wrongdoing occurs fall into three specific categories and include all except

• A)intangible costs such as legal and investigative costs incurred by the company.
• B)internal administrative costs associated with ensuring future compliance.
• C)intangible costs such as customer defections.
• D)less visible costs such as the costs of complying with often harsher government regulation.
• E)visible costs to shareholders such as lower stock price.

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Definitions:

Absolute Threshold

The minimum intensity level of a stimulus that an individual can detect at least 50% of the time.

Exposure

The act of making something visible or subjecting someone to an experience or influence.

Attention

The mental ability to focus on a single element of one's surroundings while disregarding other stimuli.

Weber's Law

A principle of perception that states the change in a stimulus that will be just noticeable is a constant ratio of the original stimulus.