Question 1

Decisions that are made based on the underlying cultural factors can be best characterized by:

Accepted Answer

A)   Ethical Collectivism
B)   Situational ethics
C)   Ethical relativism
D)   Judgmental Individualism

Question 2

A difficult choice between two moral principles that are in conflict with one another is known as a/an:

Accepted Answer

A)   ethical relativism
B)   situational ethics
C)   ethical dilemma
D)   conflict ethics

Question 3

An accountant who blows the whistle on financial wrongdoing by his/her employer by going outside the entity violates:

Accepted Answer

A)   The due care principle
B)   Confidentiality
C)   One's reliability obligation
D)   Public interest obligation

Question 4

Treating others fairly encompasses treating them:

Accepted Answer

A)   Equally, impartially, and responsibly
B)   Equally, responsibly, and openly
C)   Impartially, openly, and diligently
D)   Equally, impartially, and openly

Question 5

In the Harvard Cheating scandal case, using ethical reasoning who is at fault for the situation?

Accepted Answer

A)   The professor
B)   Teaching assistants
C)   Students who cheated
D)   All of the above

Question 6

When applying Utilitarianism to judge actions, what is the only thing that matters?

Accepted Answer

A)   Motives
B)   Fairness
C)   Consequences
D)   Rights

Question 7

Michael Josephson, founder of the Josephson Institute of Ethics, is credited for developing:

Accepted Answer

A)   Book of virtues
B)   Care and response orientation
C)   Six Pillars of Character
D)   Rights theory

Question 8

Objectivity requires that a CPA should:

Accepted Answer

A)   Maintain a mental attitude of intellectual honesty and independence
B)   Maintain a mental attitude of intellectual honesty and impartiality
C)   Act in accordance with the best interests of one's client
D)   Act in accordance with the best interests of one's employer

Question 9

In the Giles and Regas case, the primary ethical issue can be stated as:

Accepted Answer

A)   Whether a subordinate should blow the whistle on a superior who has violated ethical policy
B)   Whether two staff members of the same rank should be allowed to date
C)   Whether a superior should become involved in a dating relationship with a subordinate
D)   Whether a student should renege on the acceptance of an offer from one firm after receiving an offer from a second firm

Question 10

When an employee is given a job evaluation, he has a right to expect:

Accepted Answer

A)   Fair evaluations
B)   Caring and empathy on the part of the evaluator
C)   360 degree evaluations from everyone in the firm
D)   Evaluations of technical, not personal skills

Question 11

Moral philosophy deals with questions such as "How should I live my life?" and "What sort of person should I strive to be?" What are the basic tenets of moral philosophy? Answer with respect to the philosophies discussed in the chapter.

Accepted Answer

Moral philosophy is the area of philosop...

Question 12

Janice is a staff accountant in the accounting firm of Obama and Biden. She is assigned to the audit of HealthCare Associates. On the very first day Janice noticed that the accounting manager of the client took money out of the petty cash fund and put it in his pocket. The best action for Janice to take is:

Accepted Answer

A)   Ignore the situation because Janice doesn't know why the manager pocketed the money
B)   Inform her immediate supervisor of what she observed
C)   Tell another staff accountant who is a friend and ask for her advice
D)   Tell the superior of the accounting manager what she has observed

Question 13

Under the IMA's standards of ethical practice, an accounting professional can consider informing authorities or individuals not employed by the organization when an ethical dilemma occurs about an accounting or financial reporting matter that remains unresolved if he/she:

Accepted Answer

A)   Believes there is a clear violation of the law
B)   Contacts his/her immediate superior who says to forget about the matter
C)   Informs the external auditors who tell him/her to inform the appropriate authorities
D)   Believes there has been an ethical violation

Question 14

A danger of situational ethics is that it can be used to rationalize a wrong-doing. Such rationalizations may be seen in all of the following examples except:

Accepted Answer

A)   Cheating at the University of North Carolina
B)   Hiding Anne Frank's family to escape Nazi terror.
C)   Betty Vinson's actions at World Com
D)   David Walker's actions at the Government Accountability Office

Question 15

The school board has received a bomb threat claiming that a bomb would be detonated at noon on Monday at the high school. The threat was received by the school board at 8 pm on Sunday night. The school asked the bomb squad to investigate and they found no bomb. The next morning at 7am, one hour before school was to start, another threat was received. There was no time to check for a bomb. What is the best action for the school to take from an ethical perspective? Explain. (a) Go ahead with school as planned since the last threat was not credible. (b) Delay the start of school until 10am to give the bomb squad time to check and inform parents there is a water leak that needs to be fixed. (c) Call off school even though final exams were scheduled that day and explain all the steps taken to protect the safety of students.
Discuss which ethical theory supports each alternative. Which would you choose and why?

Accepted Answer

The question is designed to have no righ...

Question 16

In the Better Boston Beans case, what is the ethical dilemma facing Cyndie?

Accepted Answer

A)   Loyalty of co-worker versus trust of co-worker
B)   Trust of co-worker versus the honesty of the workplace
C)   Honesty of the workplace versus the privacy of an individual
D)   Privacy of an individual versus loyalty of co-worker

Question 17

Kelly is the controller of a small company. One day the CFO comes in and tells her to lower the estimate of uncollectible accounts receivable. Kelly insists her numbers are correct as is. The CFO tells her it will mean her job at the company if she doesn't go along with the smaller estimate. The primary virtue that would enable Kelly to resist the pressure to manipulate the number is:

Accepted Answer

A)   Loyalty
B)   Integrity
C)   Caring
D)   Objectivity

Question 18

The Independence Principle in the AICPA Code applies to:

Accepted Answer

A)   All accountants and auditors
B)   All CPAs regardless of professional services
C)   All CPAs who render attestation services
D)   All members of the audit committee

Question 19

The method of ethical reasoning that evaluates actions in terms of harms and benefits is:

Accepted Answer

A)   Act Utilitarianism
B)   Rights Theory
C)   Justice
D)   Virtue

Question 20

In the Capitalization versus Expensing case the main ethical issue is whether Gloria Hernandez should:

Accepted Answer

A)   Capitalize or expense $1 million of expenditures
B)   Report her superiors' actions to the CEO
C)   Talk to the audit committee about the pressure imposed by her supervisor
D)   Become a whistle blower

Exam 1: Ethical Reasoning: Implications for Accounting

An accountant who blows the whistle on financial wrongdoing by his/her employer by going outside the entity violates:

Correct Answer
verified

Decisions that are made based on the underlying cultural factors can be best characterized by:

Correct Answer
verified

Under the IMA's standards of ethical practice, an accounting professional can consider informing authorities or individuals not employed by the organization when an ethical dilemma occurs about an accounting or financial reporting matter that remains unresolved if he/she:

Correct Answer
verified

The Independence Principle in the AICPA Code applies to:

Correct Answer
verified

When an employee is given a job evaluation, he has a right to expect:

Correct Answer
verified

Correct Answer
verified
The question is designed to have no righ...
View Answer

Michael Josephson, founder of the Josephson Institute of Ethics, is credited for developing:

Correct Answer
verified

In the Giles and Regas case, the primary ethical issue can be stated as:

Correct Answer
verified

Correct Answer
verified

When applying Utilitarianism to judge actions, what is the only thing that matters?

Correct Answer
verified

A danger of situational ethics is that it can be used to rationalize a wrong-doing. Such rationalizations may be seen in all of the following examples except:

Correct Answer
verified

In the Harvard Cheating scandal case, using ethical reasoning who is at fault for the situation?

Correct Answer
verified

Objectivity requires that a CPA should:

Correct Answer
verified

Moral philosophy deals with questions such as "How should I live my life?" and "What sort of person should I strive to be?" What are the basic tenets of moral philosophy? Answer with respect to the philosophies discussed in the chapter.

Correct Answer
verified
Moral philosophy is the area of philosop...
View Answer

A difficult choice between two moral principles that are in conflict with one another is known as a/an:

Correct Answer
verified

Treating others fairly encompasses treating them:

Correct Answer
verified

In the Better Boston Beans case, what is the ethical dilemma facing Cyndie?

Correct Answer
verified

Correct Answer
verified

In the Capitalization versus Expensing case the main ethical issue is whether Gloria Hernandez should:

Correct Answer
verified

The method of ethical reasoning that evaluates actions in terms of harms and benefits is:

Correct Answer
verified

Exam 1: Ethical Reasoning: Implications for Accounting

An accountant who blows the whistle on financial wrongdoing by his/her employer by going outside the entity violates:

Correct AnswerverifiedShow Answer

Decisions that are made based on the underlying cultural factors can be best characterized by:

Correct AnswerverifiedShow Answer

Under the IMA's standards of ethical practice, an accounting professional can consider informing authorities or individuals not employed by the organization when an ethical dilemma occurs about an accounting or financial reporting matter that remains unresolved if he/she:

Correct AnswerverifiedShow Answer

The Independence Principle in the AICPA Code applies to:

Correct AnswerverifiedShow Answer

When an employee is given a job evaluation, he has a right to expect:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedThe question is designed to have no righ...View AnswerShow Answer

Michael Josephson, founder of the Josephson Institute of Ethics, is credited for developing:

Correct AnswerverifiedShow Answer

In the Giles and Regas case, the primary ethical issue can be stated as:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

When applying Utilitarianism to judge actions, what is the only thing that matters?

Correct AnswerverifiedShow Answer

A danger of situational ethics is that it can be used to rationalize a wrong-doing. Such rationalizations may be seen in all of the following examples except:

Correct AnswerverifiedShow Answer

In the Harvard Cheating scandal case, using ethical reasoning who is at fault for the situation?

Correct AnswerverifiedShow Answer

Objectivity requires that a CPA should:

Correct AnswerverifiedShow Answer

Moral philosophy deals with questions such as "How should I live my life?" and "What sort of person should I strive to be?" What are the basic tenets of moral philosophy? Answer with respect to the philosophies discussed in the chapter.

Correct AnswerverifiedMoral philosophy is the area of philosop...View AnswerShow Answer

A difficult choice between two moral principles that are in conflict with one another is known as a/an:

Correct AnswerverifiedShow Answer

Treating others fairly encompasses treating them:

Correct AnswerverifiedShow Answer

In the Better Boston Beans case, what is the ethical dilemma facing Cyndie?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

In the Capitalization versus Expensing case the main ethical issue is whether Gloria Hernandez should:

Correct AnswerverifiedShow Answer

The method of ethical reasoning that evaluates actions in terms of harms and benefits is:

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
The question is designed to have no righ...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Moral philosophy is the area of philosop...
View Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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