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You work for an airline company and discover a series of regular payments made to a lobbying group that campaigns to allow people freedom to fly as and when they choose without being taxed for contributing to global warming. The group's website includes specific commentary that claims to 'expose the myth of global warming'. Neither your company nor the lobbying group (which describes itself as 'independent') mention the financial link between your organizations. Is this an ethical issue and why?

Options:

Yes - the lobbying group appears to be funded at least in part by your company so it is not independent and is therefore misleading people about its status

Maybe - depending on whether the lobbying group is funded by other airlines as well as your company

No - companies are entitled to fund any groups that they choose, particularly if it is in their financial interest. Neither party has done anything unethical

No - there is unlikely to be any connection between the payments and the group's aims. After all, companies regularly fund Non-Government Organizations (NGOs) and other types of organization

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Question 2

Which of the following must an internal audit satisfy in order to be deemed independent? Select ALL that apply.

Options:

The head of the audit must report to a high level within the organisation.

The internal audit activity must be free from interference.

The head of the internal audit must communicate and interact directly with the board of directors.

Any problems identified during the audit should be reported.

Action plans should be negotiated with management in order to address any identified problems.

Question 3

lohn works as a management accountant for a law firm. He only got the job because he lied about his qualifications: he told the interviewers that he the required accountancy qualifications to do the job when he actually

didn't.

Now John's boss has found that John lied during the interview. Which of the following will almost certainly happen as a result?

Select ALL that apply.

Options:

John will lose his employer's trust.

John will lose his job.

John will face criminal proceedings.

John will face civil proceedings.

John will be expelled from the professional accountancy organisations he is a member of.

John will have problems finding new employment.

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BA4 Exam Dumps : Fundamentals of Ethics, Corporate Governance and Business Law

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Fundamentals of Ethics, Corporate Governance and Business Law Questions and Answers

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