Which of the Following Statements Is True About Social Responsibility

question 31

Multiple Choice

Which of the following statements is true about social responsibility?

• A) It is the managerial obligation to ensure the accountability of certain individuals in an organization through mechanisms that try to reduce or eliminate the principal-agent problem.
• B) It is the managerial obligation to cater to the needs of the stockholders, while abiding by the laws of the society.
• C) It is the managerial obligation to take action that protects and improves both the welfare of society as a whole and the interests of the organization.
• D) It is the managerial obligation to abide to societal laws when pursuing organizational goals.
• E) It is the managerial obligation to ensure ethical decision making in an organization to benefit its customers.

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Definitions:

Defective Goods

Products that are not functioning as intended or are unsafe due to manufacturing flaws, design defects, or inadequate instructions.

Constitutes Acceptance

The act or process that signals agreement to the terms of an offer, thereby creating a binding contract.

Testing

The process of evaluating a product, service, or system to determine if it meets specified requirements, or to identify differences between expected and actual results.

UCC

The Uniform Commercial Code is a comprehensive set of laws that govern commercial transactions in the United States, intended to standardize regulations across states.