Alvita Works for a Company That Extracts Minerals from the Ground

question 24

Multiple Choice

Alvita works for a company that extracts minerals from the ground. Her new CEO wants to be sure the company can keep extracting minerals and continue to work with landowners to get mineral rights for many years. The CEO asks Alvita to audit how the likely the company will be able to sustain its operations long-term. What should Alvita keep in mind while conducting this audit?

• A)She needs to realize she is subject to more regulation than if she were conducting a financial audit.
• B)She will need to report her results in the same format as any other audit.
• C)She should consider company profits, the local people, and the local environment.
• D)She can ignore financial and profitability data for the purposes of this audit.
• E)She should do what pleases the local landowners, even if it is not profitable.

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Definitions:

Latino

A term used in the United States to refer to people of Latin American origin or descent.

Asian American

Individuals in the United States who are of Asian descent, comprising diverse communities with varied cultures and ancestries.

CEO Activism

The involvement of chief executive officers in public discourse and actions on socio-political and environmental issues, exceeding traditional corporate responsibilities.

Greenwashing

The practice of companies misleadingly portraying their products, activities, or policies as environmentally friendly when they are not.