The contractual theory of corporations states that _______. Select one: a. individuals would be able to do business most easily without contracts b. when individuals pool their assets they are more likely to act with social responsibility c. corporations have an implicit contract with society at large d. corporations make transactions easier than they otherwise would be The central argument for shareholder control of a company states that _______. Select one: a. companies without shareholders are not likely to be profitable b. management can only control a company insofar as they are paid by it c. shareholders are more likely than management to operate a company profitably
According to stakeholder theory, _______.
a. a company ought to be run to the benefit of everyone involved in it
b. everyone involved in a company should be treated as shareholders
c. stakeholders invest the most capital in a corporation
d. ownership of a company should be divided among all stakeholders
The central argument for shareholder control of a company states that _______.
a. companies without shareholders are not likely to be profitable
b. management can only control a company insofar as they are paid by it
c. shareholders are more likely than management to operate a company profitably
d. shareholders have the most to lose in their company involvement
Unethical business conduct usually arises from _______.
a. the way that an organization as a whole operates
b. unscrupulous individuals acting alone
c. ignorance of the law
d. attempts to cheat shareholders of their dividends
An effective corporate ethics program should include _______.
a. training in all of the relevant laws
b. oversight given to a few individuals
c. standards that have been communicated to all levels
d. reporting of all procedures to the public