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Ethics Midterm

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Q. 1. What is the difference between an ordinary decision and an ethical one?

Q. 2.Why study business ethics?

Q. 3. What is the primary objective of U.S. antitrust laws?

Q. 4. Why was the Sarbanes -Oxley Act enacted?

Q. 5. What is the difference between athical delama and ethical

Q. 6. When do you consider insider trading legal?

Q1.
Ordinary decision does not have ethical decision tied in to it. Which means the ordinary decision does not have much effect as making ethical decision. The

Q2.
It is important to study business ethics, because businesses should believe in hiring good people with strong ethical values. It should be considered as part of the companies assets. Individuals personal values and morals plays a factor in the ethical decision making process. Even in life decision makings is applied on how you distinguish everyday ethical issues from the business spectrum.

Q4
The big companies “BIG FIVE” led the Congress to pass the Sarbanes-Oxley Act in 2002 due to address the loss of confidence in financial reporting and corporate ethics. The intention of this act is to change organizational control and accounting regulations. What happened was, the accounting firm, was convicted of obstructing justice after shredding documents related to its role as Enron’s auditor. The reputation of the firm, ultimately went out of business. The Sarbanes-Oxley Act and the FSGO have institutionalized the need to discover and address ethical and legal risk.

Q6
Although, inside trading has not always been illegal, first you must realize that there is actually a legal insider trading. Which means, it is when a CEO or a company insider buys or sell stocks in their own company, which the SEC requires that they report these trading so that you can know when they are going on. To make it illegal insider trading, is when someone tip you with an

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