Which of the following statements is true about code of ethics?
a. It is most effective when it is too detailed.
b. It can be an effective internal control of behavior.
c. It is typically drafted by government agencies.
d. It is created only for top managers of an organization.
ANSWER: b
Creating ethics guidelines has several advantages. A code of ethics can be an effective internal control of behavior, which is more desirable than external controls such as government regulation.
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