A corporate financial manager who is trying to create value for its shareholders:
A) is not concerned with ethics but rather with writing iron-clad contracts.
B) can safely ignore ethics as long as no laws are broken.
C) must behave ethically to stay out of jail.
D) is concerned with ethics because unethical behavior destroys trust, and businesses cannot function without a certain degree of trust.
D
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An attempt to characterize causes of events to either personalities or external situations is called
A) projection B) selective attention C) attribution error D) halo effect
Glick Company purchased oil rights on July 1, Year 1, for $2,760,000. A total of 200,000 barrels of oil are expected to be extracted over the assets life, and 48,000 barrels are extracted and sold in Year 1. Which of the following correctly summarizes the effect of the Year 1 depletion expense on the elements of the financial statements? (Do not round intermediate calculations.)
A. A decrease in stockholders' equity of $200,000. B. A decrease in assets of $662,400. C. An increase in stockholders' equity of $702,400. D. A decrease in assets of $480,000.
Waterford Industries is considering the purchase of a new machine. It will replace an existing but
obsolete machine that will be sold for $50,000. The existing machine is 8 years old, cost $200,000, had a 10-year useful life, and is being depreciated to zero using the straight-line method. Waterford's income tax rate is 35%. What is the after-tax salvage value of the old machine? A) $53,500 B) $46,500 C) $50,000 D) $42,000
No individual or group can have power in isolation.
Answer the following statement true (T) or false (F)