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Question 1 of 20


Whistle blowers are often punished how?


A. directly, by their employers 


B. indirectly, by future employers due to demonstrated lack of loyalty 


C. indirectly, by their coworkers for the breach of confidence in the team 


D. all of the above


Question 2 of 20


Potential conflicts of interest are likely to become unethical if the employee __________.


A. has his or her judgment impaired by the conflict 


B. discloses the conflict to his or her employer 


C. resigns before damage is done 


D. all of the above


Question 3 of 20


Which of the following is NOT necessary for fair working conditions?


A. initiating affirmative action plans 


B. studying and compensating for potential hazards 


C. informing workers of potential risks 


D. providing adequate medical and disability coverage


Question 4 of 20


What is “whistle blowing?”


A. the attempt by an employee to disclose wrongdoing in an organization 


B. sexual harassment 


C. the legal requirement to audibly indicate the end of the normal work day 


D. employees wasting company time


Question 5 of 20


Which of the following are NOT concerns to anyone working in the United States?


A. Labor markets may not be competitive or the job risks are not yet known. 


B. Workers might accept risks unknowingly because the worker doesn’t have access to the risk information. 


C. Workers might knowingly accept risks because they lack mobility to enter less risky industries. 


D. None of the above


Question 6 of 20


Which is NOT a consideration for determining a fair wage?


A. risks involved with the work 


B. age of the employee 


C. skills needed for the work 


D. local living costs


Question 7 of 20


Which organizational layer can be said to generate the broad policy decisions and direction for the firm?


A. operating layer 


B. middle management 


C. top management 


D. none of the above


Question 8 of 20


A firm’s main moral duty to its employees is to provide them with __________.


A. a clean working environment 


B. friendly supervisors 


C. medical and dental insurance 


D. fair wage and fair working conditions


Question 9 of 20


Which of the following is the primary ethical argument against insider trading?


A. Insiders have an unfair advantage over other traders. 


B. It directly harms the company. 


C. It is based on stolen information. 


D. It is illegal.


Question 10 of 20


In this view, the employee’s main moral duty is to work toward the goals of the firm. This view is referred to as __________.


A. law of legitimacy 


B. law of structure 


C. law of agency 


D. law of duty


Question 11 of 20


A political organization differs from a rational organization in what way?


A. There is a designed hierarchical organization. 


B. Alliances and coalitions form irrespective of organizational hierarchies. 


C. Salary is distributed equally between all levels of the organization. 


D. There is no difference.


Question 12 of 20


Which of the following is a likely positive effect of insider trading?


A. There is better employee retention. 


B. The company does not need to hire stockbrokers. 


C. Company secrets are less likely to be leaked. 


D. Stock prices better reflect their true value.


Question 13 of 20


Governments and large organizations share several features. Which of the following is NOT one?


A. Top managers wield considerable power over lower levels. 


B. Top managers have free access to the personal, private information of the lower levels. 


C. Top managers have recognized authority over lower levels. 


D. The policy makers have considerable control over the income, status, and freedom of the lower levels.


Question 14 of 20


Which organizational layer can be said to generate material goods and direct outputs of the firm?


A. operating layer 


B. middle management 


C. top management 


D. none of the above


Question 15 of 20


Which organizational layer can be said to form alliances and create conflicts of interest?


A. operating layer 


B. middle management (Incorrect)


C. top management 


D. none of the above


Question 16 of 20


A conflict of interest can arise when __________.


A. an employee has a private interest in the outcome of a task in which they are engaged in that is possibly antagonistic to the firm’s interests  (Incorrect)


B. an employee is failing to provide profit to the company due to personal issues 


C. an employee has an interest outside the company substantial enough that it might affect the employee’s independent judgment on the firm’s behalf 


D. A and C 


E. all of the above


Question 17 of 20


Which of the following is NOT a necessary condition for something to be considered information theft?


A. The owner must suffer in some way for the loss. 


B. The original information must be lost or damaged. 


C. The thief must not have legal access to the information. 


D. None of the above


Question 18 of 20


Awarding a contract in the hopes of improving your chances of getting a new job with the contracting company is likely an example of what?


A. subjective conflict of interest 


B. objective conflict of interest 


C. commercial bribe 


D. commercial Extortion


Question 19 of 20


Which of the following is a valid consideration for determining a fair wage?


A. the firm’s profits 


B. previous wage of the applicant 


C. gender of the applicant 


D. the nationality of the applicant


Question 20 of 20


Workers’ risks on the job in less developed countries are affected by __________.  


A. labor markets that are not competitive or job risks not yet known 


B. workers accepting risks unknowingly because the worker doesn’t have access to the risk information 


C. workers knowingly accepting risks because they lack mobility to enter less risky industries 


D. all of the above

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