PHIL 2274 - ECU Business Ethics, Kenneth Ferguson: Exam 3

*Which best describes the civil rights policy known as affirmative action?

A. taking positive steps to offset the damage done by discrimination

B. affirming or admitting that the US has a history of discrimination

C. making discrimination unlawful for future competition in the US

D. offering reparation payments to the victims of past discrimination

*A. taking positive steps to offset the damage done by discrimination (NOT C)

Which section of the Civil Rights Act of 1964 prohibits job discrimination?

A. Title I

B. Title III

C. Title IV

D. Title VII

D. Title VII

Which characteristic was not protected in the original Civil Rights Act of 1964?

A. sexual orientation

B. gender (sex)

C. race

D. religion

A. sexual orientation

Which complaint was made by Allan Bakke against the Davis Medical School?

A. Davis placed too much emphasis on a standardized exam (MCAT).

B. Davis was not strongly committed to enforcing affirmative action.

C. Minority applicants were admitted with lower credentials than his.

D. Minority applicants did not have to prove their racial identity.

C. Minority applicants were admitted with lower credentials than his.

Which is the primary reason the Supreme Court agreed with Bakke's complaint?

A. The Court believed that affirmative action led to lower medical standards.

B. No one can prove that earning a high GPA makes anyone a better physician.

C. The 14th Amendment entitles all citizens to equal protection under the law.

D. There's no way to determine how much discrimination each group has suffered.

C. The 14th Amendment entitles all citizens to equal protection under the law.

Which reason for Davis's affirmative action program was accepted by the Supreme Court?

A. reversing the lingering effects of discrimination

B. increasing diversity within their own medical school

C. reducing the deficit of minorities in medical fields

D. training more physicians for underserved areas

B. increasing diversity within their own medical school

Which general effect did the 1978 Bakke decision have on affirmative policy?

A. All affirmative action was declared a violation of the 14th Amendment.

B. Schools were required to set a strict quota each year for each minority.

C. Affirmative action was encouraged except for the use of strict quotas.

D. Affirmative action was granted to all racial groups, not just to minorities.

C. Affirmative action was encouraged except for the use of strict quotas.

Which goal did Harvard cite to defend its use of affirmative action?

A. eliminating racism in all aspects of society and its institutions

B. disproving the critical race theory that racism is unavoidable

C. improving the image of Harvard as a progressive institution

D. producing new knowledge stemming from diverse outlooks

D. producing new knowledge stemming from diverse outlooks

Which factor does Harvard use to protect tentative applicants from being cut ("lopped")?

A. religion

B. gender

C. legacy status

D. military service

C. legacy status

In SFFA v. Harvard (2023), which is the decision made by the Supreme Court?

A. Affirmative action based on race violates the equal protection clause.

B. Affirmative action should be made permanent because racism is ingrained.

C. Affirmative action should continue until racism is completely eliminated.

D. Affirmative action is the only way to ensure racial diversity and inclusion.

A. Affirmative action based on race violates the equal protection clause.

Which is the clearest example of the quid pro quo form of sexual harassment?

A. Workers at a construction site whistle at every woman who passes.

B. Military officer resists having women assigned to their combat units.

C. Co-worker is persistent in asking out women in their company.

D. Office manager offers a worker a raise in exchange for sexual favors.

D. Office manager offers a worker a raise in exchange for sexual favors.

*Which is the clearest example of the unwanted attention form of sexual harassment?

A. Co-worker won't take no for an answer, continuing to insist on a date.

B. Workers must report sexual activity, to plan ahead for maternity leave.

C. Female workers are prohibited from wearing pants or trousers to work.

D. A male worker invites every woman in the office to his apartment.

*A. Co-worker won't take no for an answer, continuing to insist on a date. (NOT C)

Which requirement must be satisfied before suing for unwanted attention?

A. The unwanted attention must continue for at least one year (12 months).

B. Both parties to the dispute must participate in joint counseling sessions.

C. The plaintiff must be sure that they are not the one inviting the attention.

D. The offending worker must be notified that their attention is unwelcome.

D. The offending worker must be notified that their attention is unwelcome.

Which legal theory used in Ellison v. Brady affected the verdict in the case?

A. Women must take more responsibility in discouraging sexual harassment.

B. The severity of the harassment must be judged from a woman's viewpoint.

C. Both genders are entitled to the same protection from sexual harassment.

D. Harassment will disappear only if the courts are aggressive in punishing it.

B. The severity of the harassment must be judged from a woman's viewpoint.

Which is required to hold a company responsible for sexual harassment by an employee?

A. The employee must be an agent for the company.

B. The harassment must occur on the company grounds.

C. Its CEO must have been notified of the harassment, prior to the lawsuit.

D. Company officials must have participated directly in the harassment.

A. The employee must be an agent for the company.

Which complaint was brought by Lisa Olson against the New England Patriots?

A. The team's owner (Victor Kiam) refused to allow her in the men's locker room.

B. The New England quarterback refused to grant interviews to female reporters.

C. Football players surrounded Olson in the locker room in a sexually hostile manner.

D. Kiam refused to provide a secure interview area inside the men's locker room.

C. Football players surrounded Olson in the locker room in a sexually hostile manner.

Which is the best definition of whistleblowing?

A. alerting the general public to hidden abuses inside your company

B. complaining to supervisors about hidden abuses at your company

C. refusing to participate in hidden, abusive actions by your company

D. contributing to hidden abuses taking place inside your company

A. alerting the general public to hidden abuses inside your company

Which best represents the attitude of Steven Lovett toward whistleblowing?

A. Exposing unlawful conduct is more important than loyalty to employers.

B. Owners, not their employees, should decide which facts to make public.

C. Whistleblowing should be discouraged because it threatens prosperity.

D. Owners should force their workers to sign nondisclosure agreements.

A. Exposing unlawful conduct is more important than loyalty to employers.

Why does Lovett believe that whistleblowing cases have become so prevalent?

A. Whistleblowers are looking for attention and praise from the public.

B. Greed has replaced prosperity as the primary business purpose.

C. There is lowered respect for the rights to privacy and confidentiality.

D. Workers do not respect management's right to control information.

B. Greed has replaced prosperity as the primary business purpose.

Which ethical justification for whistleblowing is most clearly utilitarian?

A. Whistleblowing exposes corruption inside large corporations.

B. Whistleblowing maximizes pleasure for society as a whole.

C. Whistleblowing is consistent when permitted for everyone.

D. Whistleblowing is completely accepted inside our culture.

B. Whistleblowing maximizes pleasure for society as a whole.

Which ethical justification for whistleblowing is most clearly Kantian?

A. Whistleblowing speech is protected by the First Amendment.

B. The right to privacy does not include hiding harmful information.

C. The public has the right to know about dangers posed by corporations.

D. A world where everyone blows the whistle is consistent.

D. A world where everyone blows the whistle is consistent.

Which reason does Ronald Duska give to justify whistleblowing?

A. Modern corporations no longer care about public safety and health.

B. The government always acts quickly once corporate abuses are revealed.

C. Whistleblowers are given completely reliable protection from retaliation.

D. The employee/employer relationship is commercial, not requiring loyalty.

D. The employee/employer relationship is commercial, not requiring loyalty.

Which is included in Norman Bowie's five steps for proper whistleblowing?

A. The information revealed must not be copyrighted or patented.

B. There must be enough evidence to make the charges convincing to the public.

C. The public could not get the information in any other manner.

D. The revealed information should not violate confidentiality.

B. There must be enough evidence to make the charges convincing to the public.

Which is also included in Norman Bowie's five steps for proper whistleblowing?

A. There must be a morally appropriate motive such as concern for public health.

B. The union steward at the company must support the whistleblowing.

C. The whistleblower must not accept any financial reward for their act.

D. At least 100 lives must be at risk from the company's hidden practices.

A. There must be a morally appropriate motive such as concern for public health.

Which was reported by Dale Potter, the manager at the Village Bank of New Jersey?

A. Several cash deposits at his bank were coated in blood stains.

B. The owners ordered him to leave the bank vault open at night.

C. The owners used the bank deposits to gamble at the racetrack.

D. An associate of the owners deposited $50K in cash in one day.

D. An associate of the owners deposited $50K in cash in one day.

Which official charge did Potter make against the bank's owners (MK Group of Panama)?

A. He was wrongfully dismissed for refusing to violate banking regulations.

B. He was not given a bonus merely because he refused to take it in cash.

C. His job was advertised in the Wall Street Journal without informing him.

D. His salary at the bank was below that of most bank managers.

A. He was wrongfully dismissed for refusing to violate banking regulations.

Which was the outcome of Potter's lawsuit against the MK Group of Panama?

A. Potter lost, because with employment-at-will they had the right to fire him for any reason..

B. Potter lost, because foreign citizens cannot be sued in US civil courts.

C. Potter lost, because he did not have the legal standing to bring the suit.

D. Potter won, receiving a settlement of $160K in compensatory/punitive damages.

D. Potter won, receiving a settlement of $160K in compensatory/punitive damages.

Which concern did Roger Boisjoly express about the launch of the Challenger space shuttle?

A. There was not enough diversity among the shuttle's crew.

B. The O-rings on its rocket booster might not seal in cold weather.

C. The tiles forming the heat shield were not securely attached.

D. The pilot of the space shuttle did not have enough flight hours.

B. The O-rings on its rocket booster might not seal in cold weather.

Which condition for proper whistleblowing was omitted by Boisjoly, the applied mechanic?

A. He did not have a good moral motive for raising his issues.

B. He did not have any scientific evidence to support his claims.

C. He did not follow the chain of command at his engineering firm.

D. He did not go outside his employer to make his concerns public.

D. He did not go outside his employer to make his concerns public.

Which is the best definition of confidentiality?

A. helping one's corporation maintain a positive public image

B. maintaining high self-esteem by meeting business obligations

C. committing oneself to keeping secrets entrusted to one by others

D. feeling that one can accomplish anything with enough effort

C. committing oneself to keeping secrets entrusted to one by others

How do corporations usually try to protect their trade secrets?

A. They rely on employee loyalty to keep their trade secrets from being revealed.

B. Employees are forced to put money in escrow, which is forfeited if they spill trade secrets.

C. Employees who know trade secrets are forced to sign confidentiality agreements.

D. No protections are necessary, since trade secrets are fully protected by law.

C. Employees who know trade secrets are forced to sign confidentiality agreements.

Which advantage favors relying on trade secrets instead of getting patents?

A. So long as the trade secret can be kept, there is no expiration date.

B. The law provides just as much protection for trade secrets as for patents.

C. Trade secrets can't be used by others even if independently discovered.

D. Patented information is usually taxed more heavily than trade secrets.

A. So long as the trade secret can be kept, there is no expiration date.

Which legal fact protects a corporation in the use of its trade secrets?

A. Attempts to reverse engineer a trade secret are regarded as illegal.

B. The theft of trade secrets is regarded as a form of unfair competition.

C. Companies that independently discover a trade secret cannot use it.

D. Trade secrets are protected from competition the same as for patents.

B. The theft of trade secrets is regarded as a form of unfair competition.

Which problem was encountered by B. F. Goodrich in regard to its trade secrets?

A. An employee (Wohlgemuth) with trade secrets wanted to work for a rival.

B. Its major customer (NASA) regarded all trade secrets as public knowledge.

C. Russian espionage agents infiltrated Goodrich, stealing their trade secrets.

D. Space technology evolved so fast their trade secrets became obsolete.

A. An employee (Wohlgemuth) with trade secrets wanted to work for a rival.

Which conclusion about trade secrets did the Court reach in the B. F. Goodrich case?

A. Workers can accept jobs from rival companies even if they know trade secrets.

B. Workers entrusted with trade secrets cannot work for rival companies.

C. Rival companies cannot use any trade secrets that learn from new employees.

D. Companies must report employees who share trade secrets from their rivals.

A. Workers can accept jobs from rival companies even if they know trade secrets.

Which objection did Coca-Cola raise against their secretary, Joya Williams?

A. Williams was seen in a public restaurant drinking non-Coke products.

B. She testified in civil court that drinking Coke causes health problems.

C. She accused Coca-Cola of contaminating third-world drinking water.

D. She attempted to sell Coke's secret drink recipes to its rival, Pepsi.

D. She attempted to sell Coke's secret drink recipes to its rival, Pepsi.

Which was the trial outcome for Joya Williams?

A. Williams was convicted, because her actions were regarded as theft.

B. She was cleared, because corporate information belongs to the public.

C. She was cleared, because employees have the right to free speech.

D. She was cleared, because she does not owe loyalty to her employer.

A. Williams was convicted, because her actions were regarded as theft.

Which might make a corporation reluctant to patent its trade secrets?

A. No individual corporation can apply for more than one patent at a time.

B. Once the patent has been filed, it becomes a matter of public record.

C. If the information is independently discovered, the patent is canceled.

D. The patent is canceled if the information can be reverse engineered.

B. Once the patent has been filed, it becomes a matter of public record.

*Which is the expiration date for most common US patents?

A. 20 years after the novel item was invented

B. 20 years after the application date for the patent

C. 20 years after the granting date for the patent

D. no expiration date so long as the product is not modified

*B. 20 years after the application date for the patent (NOT C)

Which does Lovett consider a fundamental key to sound financial practice?

A. One must recognize that the data is more important than the practice.

B. Sound financial practices must always consider all the stakeholders.

C. The "industry best practices" are the final arbiter of sound practices.

D. Following the government regulations guarantees sound practices.

A. One must recognize that the data is more important than the practice.

How does Lovett say that sound financial practices should ultimately be molded?

A. through government regulations

B. by observing best industry practices

C. by voluntary accountability

D. by always considering the customer first

C. by voluntary accountability

Which correctly describes the CEO compensation known as stock options?

A. the option to be compensated in company stock rather than in cash

B. the option to purchase some future stock at its current market value

C. the option to determine the selling price for stock in the corporation

D. the option to refuse to sell stock in CEOs of rival corporations

B. the option to purchase some future stock at its current market value

Which advantage is given to CEOs when their stock options are backdated?

A. The CEO can exercise their stock options at an earlier date.

B. The CEOs can decline the offer to exercise their stock options.

C. Their profit margin is greater when their option is exercised.

D. The quantity of stock available in their option is increased.

C. Their profit margin is greater when their option is exercised.

Which is the mission or function of the Financial Accounting Standards Board (FASB)?

A. to enforce existing standards of financial accounting

B. to establish and improve accounting standards

C. to audit corporations to detect accounting fraud

D. to set proper penalties for corrupt accounting

B. to establish and improve accounting standards

*Which sort of convergence possibility is promoted by the FASB?

A. the elimination of differences in global accounting rules

B. the decision of several corporations to use the same accounting firm

C. the simplification of accounting by merging distinct rules

D. the merging of government agencies to simplify oversight

*A. the elimination of differences in global accounting rules (NOT D)

Which of the following is among the five precepts (principles) used by the FASB?

A. to enforce its accounting rules without favoritism to anyone

B. to make accounting changes in a way that minimizes disruptions

C. to formulate accounting rules that increase resilient prosperity

D. to increase the freedom of US corporations by reducing rules

B. to make accounting changes in a way that minimizes disruptions

Which of the following is the basis for mark-to-market property evaluation?

A. the going price of the property in today's market

B. the perceived fair price of the property

C. the listed price of the property by the owner

D. the value of the property when it is sold under duress

A. the going price of the property in today's market

Which best describes the corrupt marketing practice known as price fixing?

A. marketing a product at the same price even when costs have dropped

B. keeping the same, fixed price during periods of high inflation

C. colluding with other dealers to set a minimum price for a product

D. pricing price caps on consumer goods in order to increase demand

C. colluding with other dealers to set a minimum price for a product

Which best describes the corrupt marketing practice known as price gouging?

A. refusing to offer discounts or to hold regular sales

B. misleading customers about the prices of your products

C. refusing to bargain with customers in regard to prices

D. selling products at exorbitant prices (too high)

D. selling products at exorbitant prices (too high)

Which is a generally accepted condition for an acceptable sale?

A. Neither party to the exchange (buyer, seller) is coerced.

B. The exchange must benefit everyone in the economy.

C. The exchange must not worsen the general inflation rate.

D. Both parties must profit equally from the exchange.

A. Neither party to the exchange (buyer, seller) is coerced.