"Generally You Should Obey the Law, Because That Is One

question 1

Multiple Choice

"Generally you should obey the law, because that is one of the conditions for living in society. But if a law is immoral, you may need to disobey it-but be prepared to take the consequences." What level of moral reasoning in Kohlberg's system is reflected in this statement?

• A) hedonistic level
• B) preconventional level
• C) conventional level
• D) principled level

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Definitions:

Abnormal Earnings

Profits that exceed or fall below what is typically expected, often due to unusual events or one-time gains and losses.

Actual Earnings

The real income a company generates from its business activities, distinct from its reported or projected earnings.

Earnings Capitalization

A method for valuing a company by dividing its annual earnings by a certain capitalization rate, reflecting the investment's expected rate of return.

Value-Irrelevant

pertains to information or aspects that do not affect an entity's market value or decision-making process.