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Question
question 42 (1 point)
a firms corporate social responsibility describes its
exclusive responsibility to its stockholders.
ability to plan for the unexpected.
commitment to a management training program.
concern for the welfare of society.
question 43 (1 point)
a payoff for socially conscious behavior is
new loyal customers.
a large pool of investors.
a large pool of talented employees.
longevity due to a stable external environment.
question 44 (1 point)
a recent supreme court ruling made it easier to prosecute insider trading cases by
specifying exactly what type of information can and cannot be disclosed.
prohibiting current or former public officials from realizing stock market gains.
considering even those who share insider information without profiting guilty.
doubling massive fines for those guilty of insider trading.
- Question 42: Corporate social responsibility (CSR) is about a firm's ethical and moral obligations beyond just profit - making. It focuses on the firm's impact on society. A firm's exclusive responsibility to stockholders is more in line with a narrow profit - maximization view (not CSR). Planning for the unexpected is risk management. A commitment to a management training program is an internal human resource activity. Concern for the welfare of society is the essence of CSR.
- Question 43: Socially conscious behavior can attract customers who value a firm's ethical stance. While a large pool of investors, talented employees, and a stable external environment can be benefits in some cases, new and loyal customers are a more direct pay - off. Customers are more likely to be influenced by a firm's social consciousness in their purchasing decisions.
- Question 44: Insider trading is the illegal use of non - public information. When the Supreme Court considers those who share insider information (even without profiting) as guilty, it broadens the scope of prosecutable cases. Specifying information disclosure is more about transparency rules. Prohibiting public officials from stock market gains is a different regulation. Doubling fines is a punitive measure but not the way the ruling made prosecution easier in terms of case - definition.
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- Question 42: concern for the welfare of society.
- Question 43: new and loyal customers.
- Question 44: considering even those who share insider information without profiting guilty.