In Most Cases, Organizations That Have Managers Who Behave Ethically

question 43

Multiple Choice

In most cases, organizations that have managers who behave ethically tend to have ________.

• A)more productive employees
• B)more ethical employees
• C)less ethical employees
• D)employees who are no more or less ethical than average

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Definitions:

CAP

An abbreviation often referring to the "Capitalization" of a company, which is the sum of a company's stock, long-term debt, and retained earnings.

FASB

The Financial Accounting Standards Board, a private, non-profit organization standard setter, which establishes the generally accepted accounting principles (GAAP) within the United States.

Agency Theory

A framework that analyzes the relationship and conflicts between principals (owners) and agents (managers) in a corporation, focusing on how to align their interests.

Managers' Behavior

The actions and decisions made by managers in the course of operating a business, which can significantly impact the company's performance and culture.