Each of the Following Considerations Should Help to Evaluate Alternative

question 26

Multiple Choice

Each of the following considerations should help to evaluate alternative courses of action in the decision making model except for:

• A) Whether the alternatives are consistent with professional standards
• B) Whether the alternatives are consistent with firm policies and its own code of ethics
• C) The stage of moral development of the decision maker
• D) The potential harms and benefits of alternative courses of action

---

Definitions:

Consumer Spending

The total expenditures by households on goods and services, excluding new housing, which drives a significant portion of economic activity.

Income

The amount of money received on a regular basis through work or investments.

Multiplier Effect

The relative change in net income resulting from an addition or reduction in expenditure.

Crowding out

A situation in economics where increased government spending displaces private sector spending, either through higher taxes, higher interest rates, or borrowing.