When Sally is asked why she should share her toys with her sister, she responds by saying "Because my mom says I have to and if I don't I'll go to time-out." In which stage of moral development is Sally?
A. Conventional Morality
B. Nonconventional Moralit
D. Preconventional Morality
In reference to Rest's four-component Model of Morality, which component reflects an individual's willingness to place ethical values ahead of non-ethical values that relate to self-interest?
A. Moral Character
B. Moral Motivation
C. Moral Sympathy
D. Mor
B. Moral Motivation
The cognitive development approach refers to:
A. The thought process followed in one's moral development
B. The method of moral reasoning used in decision making
C. The exercise of professional judgment in decision making
D. The approach to giving voice t
A. The thought process followed in one's moral development
Kohlberg's model can best be described as:
A. The various phases in one's moral development and related levels of moral reasoning
B. A model of ethical action that is based on one's moral development
C. A predictive tool to determine how a person will rea
A. The various phases in one's moral development and related levels of moral reasoning
In the "Heinz and the Drug" case described in the chapter, if Heinz was reasoning at stage 5 he might decide to steal the drug based on which of the following reasoning?
A. Heinz should steal the medicine, because he will be much happier if he saves his w
D. Heinz should steal the medicine, because everyone has a right to live, regardless of the law.
Which of the following might NOT describe Heinz's thought process in deciding whether to steal the drug if he were at stage 6?
A. Heinz should steal the medicine, because everyone has a right to live, regardless of the law.
B. Heinz should steal the medic
D. Heinz should not steal the medicine, because the scientist has a right to fair compensation.
In stage 1 of Kohlberg's model, ethical reasoning is motivated by:
A. Fear of punishment
B. Satisfaction of one's needs
C. Following the law
D. Acting based on universal ethical principles
A. Fear of punishment
In stage 3 of Kohlberg's model, ethical reasoning is motivated by:
A. Satisfaction of one's needs
B. Acting in the best interests of others
C. Upholding the rights, values, and legal contracts of society
D. Acting based on universal principles
B. Acting in the best interests of others
In stage 5 of Kohlberg's model, ethical reasoning is motivated by:
A. Acting in the best interests of others
B. Following the law
C. Upholding the rights, values, and legal contracts of society
D. Acting based on universal principles
C. Upholding the rights, values, and legal contracts of society
Individuals who reason at stage 6 incorporate ethical reasoning based on:
A. The morality of law and duty to the social order
B. A rational calculation of benefits and harms to society
C. Universal ethical principles
D. All of the above
D. All of the above
A client asks his accountant to ignore a mistake which overstated the accounts receivable account. The accountant decides that the accounts receivable account has to be corrected to state the correct amount. Which stage of Kohlberg' Stages of Moral Develo
C. Stage 4
The ethical domain in accounting and auditing refers to:
A. The important constituent groups affected by accounting and auditing work
B. The stages of the moral development of accountants and auditors
C. The decision making process followed by accountants
A. The important constituent groups affected by accounting and auditing work
The results of studies indicate that CPAs reason primarily at:
A. Stages 1 and 2
B. Stages 2 and 3
C. Stages 3 and 4
D. Stages 4 and 5
C. Stages 3 and 4
Rest's "Four Component Model of Morality" can best be described as:
A. A model of moral development based on one's thought process
B. A model of the relationship between ethical action and one's level of moral development
C. A model of moral judgment base
B. A model of the relationship between ethical action and one's level of moral development
Assume you were assigned a term paper and decided to surf the web to identify a provider of papers for a fee. You chose what you thought was the best paper available. With respect to Rest's model of morality it can be said that:
A. Your actions lack moral
A. Your actions lack moral sensitivity
Yvonne is preparing a tax return for Jack. Jack wants to claim his nephew as a dependent even though he does not meet the criteria. Jack says if Yvonne does not list his nephew as a dependent, he will fire her and find a new tax accountant. Yvonne refuses
C. Stage 4
James Rest's model of ethical action involves four components inherent to the ethical decision-making process. Which of the following relates to a person's moral judgment?
A. Interpreting a situation as a moral dilemma
B. Willingness to place ethical valu
D. Outcome of one's prescriptive reasoning
Thorne's "Integrated Model of Ethical Decision Making" can best be described as:
A. A depiction of a model of moral development
B. A depiction of how the Principles in the AICPA Code of Professional Conduct influences decision making
C. A model of the rol
D. A model of the role of moral development and virtue in decision making
In Thorne's model of ethical decision making, the instrumental virtues relate to:
A. Moral sensitivity
B. Ethical reasoning
C. Ethical motivation
D. Ethical character
D. Ethical character
A criticism of the Kohlberg model is that it:
A. Suggests that people continue to change their decision priorities over time.
B. Considers development of moral reasoning necessary to be a moral person.
C. Makes deontological ethics superior to other ethic
C. Makes deontological ethics superior to other ethical perspectives.
How does Gilligan evaluate the solution to Heinz's dilemma?
A. Women think saving a life is more important than keeping the law.
B. Men think keeping the law is more important than saving a life.
C. Men tend to think in terms of justice, and women in term
C. Men tend to think in terms of justice, and women in terms of caring.
Thomas Jones's research looked at the characteristics of a moral issue to develop the moral intensity model. The model includes six dimensions. Which of the following are NOT included in those dimensions?
A. Concentration and probability of effect
B. Soci
D. Reasoning and values-based decision-making
In Thomas Jones' model of moral intensity it can be said about accounting that:
A. There is a link between the stage of moral development and ethical reasoning
B. The link between social consensus and ethical decision making exists because accounting is a
B. The link between social consensus and ethical decision making exists because accounting is a community with shared values and beliefs
The philosophical methods of moral reasoning suggest that once we have ascertained the facts, we should ask ourselves certain questions when trying to resolve a moral issue. Which of the following is NOT one of those questions?
A. Which course of action m
A. Which course of action maximizes my net benefits?
Which of the following is least likely to be a step or checkpoint in ethical decision-making guidelines?
A. Recognize there is an ethical issue
B. Determine the actor
C. Test for wrong issues
D. Look for a third way
C. Test for wrong issues
What is an important part in making an ethical choice, according to Kidder?
A. Knowledge
B. Loyalty
C. Courage
D. Trustworthiness
C. Courage
In his evaluation of Kidder's model, Johnson points out that:
A. It is not easy to determine who has responsibility for solving a problem
B. A time constraint prevents making timely decisions
C. Decisions lead to action
D. We cannot apply lessons learned
A. It is not easy to determine who has responsibility for solving a problem
Which of the following connect the integrated ethical decision-making process with Rest's framework?
A. Identify the ethical and professional issues and ethical behavior
B. Identify and evaluate alternate courses of actions and ethical sensitivity
C. Refl
C. Reflect on the moral intensity and virtues that enable action and ethical intent
Wanda is faced with an ethical dilemma. She knows her supervisor, the CFO, wants to accelerate the recoding of revenue to an earlier period to "make the numbers," but Wanda is convinced this would violate GAAP. If Wanda reasons at stage 4 of Kohlberg's mo
C. Refuse to record the transaction as desired by the CFO
Keesha is the CEO of a publicly-owned company. She was informed by the CFO that the company's earnings were down 30 percent from the prior year due to the recession. The company's stock price has declined by 20 percent. The CFO comes up with a scheme to h
C. Stage 3
Rosie is the external auditor of Texas Two Steps, a privately-owned dance company in Texas. Rosie believes the owner of the company is skimming cash off the top. She approaches the owner who explains that the money will be replaced in the following month
D. Stage 4
Steve is in charge of accounting for the purchase of equipment at Cal Works, Inc. The company has a policy that all expenditures greater than $1,000 (1% of total expenditures) have to be capitalized; less than $1,000 expensed. Steve is under pressure to r
D. Materiality
Role expectation or approval from others is a motive for doing right in which stage of Kohlberg's moral reasoning?
A. Fairness to others
B. Obedience
C. Social contract
D. Law and order
A. Fairness to others
Carpendale suggests that moral reasoning is viewed as a process of coordinating all perspectives involved in a moral dilemma. Moral reasoning takes place in which of the following steps in Rest's Model?
A. Moral sensitivity
B. Moral development
C. Moral j
C. Moral judgment
What should be the first step in decision making when faced with an ethical dilemma?
A. Choose an ethical theory to follow
B. Discuss with others your options
C. Get the facts surrounding the problem
D. Determine consequences
C. Get the facts surrounding the problem
Daniel Kahneman's System 1 thinking is described by all of the following except for:
A. Automatic
B. Emotional
C. Intuitive
D. Reflective
D. Reflective
Which of the following statements best describes System 2 thinking?
A. System 2 operates automatically and quickly, with little or no effort and no sense of voluntary control
B. System 2 allocates attention to the effortful mental activities that demand i
B. System 2 allocates attention to the effortful mental activities that demand it, including complex computations
Cognitive dissonance creates a problem that can be described as:
A. Inconsistency between thoughts and beliefs and our intended actions
B. Consistency between thoughts and beliefs and our intended actions
C. Reducing the importance of the beliefs and atti
A. Inconsistency between thoughts and beliefs and our intended actions
An example from the book of someone who may have experienced cognitive dissonance is:
A. Joe Paterno
B. Cynthia Cooper
C. Betty Vinson
D. Richard Scrushy
C. Betty Vinson
Which of the following characteristics is NOT part of the behavioral approach, Giving Voice to Values?
A. Used post-decision-making
B. Capacity to express one's values
C. Employs traditional philosophical reasoning
D. Counteracts reasons and rationalizati
C. Employs traditional philosophical reasoning
In using the GVV framework, questions to pose for dealing with the opposing points of view include all of the following except:
A. What is the way to appeal all parties?
B. What is at stake for the key parties?
C. What is your most powerful and persuasive
A. What is the way to appeal all parties?
In the Doing Good by Being Good case discussed in the chapter, Becca needs to counter Matt's reasons and rationalizations for which of the following actions?
A. Using donated funds to the Accounting Club for personal purposes.
B. Taking money from the Acc
A. Using donated funds to the Accounting Club for personal purposes.
Which of the following is NOT one of the levers Larry Davis might use to convince Paul Jones about the rightness of his point of view in the Ace Manufacturing case discussed in the chapter?
A. Davis can ask Paul Jones for supporting documentation to back
D. Davis can threaten to go to the SEC to protect shareholder interests if Paul agrees to pay back the amounts taken out of the company and correct the accounting
Assume your values conflict with what you are being asked to do. Under the Giving Voice to Values methodology which of the following statements reflects the thought process you might have in developing a game plan to voice your values?
A. Use philosophica
C. Reflect on the objections that might be raised to your intended expressed views
Gabby has just left a meeting with the partner in charge of an audit engagement and was told to ignore the typical year-end accrual entries because earnings are below financial analysts' earnings expectations. Gabby knows this is wrong and wants to act on
B. Speak with the managing partner of the firm
The ethical conflict in A Team Player can be described as:
A. There is no conflict; Barbara and Diane both identify the deficiency.
B. The conflict is between Diane and the rest of the audit team on whether there is a deficiency.
C. The conflict is betwee
C. The conflict is between Barbara and Haley, and the rest of the team as to whether or not to take the deficiency to Jessica, the audit senior.
The ethical conflict Alex is facing in the FDA Liability Concerns can be best characterized as:
A. Alex and Michael can't convince Gregory of the extent of the problem caused by the listeria identified by the FDA.
B. Alex wants to do the right thing by co
B. Alex wants to do the right thing by consumers of his salad oil products but Michael objects based on his cost benefit analysis.
The ethical dilemma for Brenda in "The Tax Return" case can best be described as a:
A. Conflict between loyalty to one's supervisor and doing the right thing
B. Conflict between reporting an item of taxable income and ignoring it
C. Lack of independence d
A. Conflict between loyalty to one's supervisor and doing the right thing
What ethical action should Daniel take in A Faulty Budget?
A. Work with Pete to correct the budget so Cwervo, Pete's boss, does not find out.
B. Work with Pete to keep quiet about the mistake in the budget so the new hires will not be laid off.
C. Tell Cw
D. Tell Cwervo about the mistake in the budget so the company can make corrections as soon as possible.
In the Gateway Hospital case, Kristen's best argument to counter the reasons and rationalizations Troy might give for requesting an extra days' reimbursement is?
A. Her loyalty is to the hospital and not Troy.
B. Her ethical obligation is ensuring that em
A. Her loyalty is to the hospital and not Troy.
In the LinkedIn and Shut Out case, Kenny:
A. Thinks he has been scammed and takes full responsibility for the loss.
B. Does not see the benefit to using LinkedIn and other social media.
C. Thinks that LinkedIn is responsible to screen all users of the sit
C. Thinks that LinkedIn is responsible to screen all users of the site to ensure integrity.
The "Milton Manufacturing" case illustrates:
A. What can go wrong when a company sets a policy that potentially harms one area of its operations.
B. How the failure to exercise professional skepticism can cloud objective judgment.
C. The pressure that can
A. What can go wrong when a company sets a policy that potentially harms one area of its operations.
The ethical dilemma for Ricardo in the Juggyfroot case can best be described as:
A. Whether to go along with Fred and Ethel's accounting for the loss in value on marketable securities.
B. Whether to let his failure to object to inappropriate accounting in
B. Whether to let his failure to object to inappropriate accounting in the prior year influence whether he goes along with inappropriate accounting in the current year
In the Phar-Mor case, Cherelstein's ethical dilemma can best be described as:
A. Standing up to Pat Finn who wanted to cover up the Phar-Mor fraud until exclusivity payments coming in would cover that amount.
B. Going to David Shapira to discuss Mickey Mo
C. Evaluating the levers he can use to counteract the reasons and rationalizations Monus might provide to defend his actions.
Cynthia Cooper's actions in the WorldCom case can be best characterized as demonstrating:
A. Courage and expediency
B. Persistence and courage
C. Courage and loyalty
D. Persistence and loyalty
B. Persistence and courage