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business
organizational behavior

Questions and Answers of Organizational Behavior

While standing on a pedestrian bridge above trolley tracks, you notice that a runaway trolley will kill five people if the trolley continues unimpeded on its present course. A fat man next to you is
Five teenagers with a rare disease are hospitalized and will die unless they receive organ transplants today. A healthy teenager visits the hospital for a health checkup and has routine tests. The
The Hippocratic Oath that doctors adhere to often is interpreted to say, "First do no harm." Is this oath consistent with deontology, utilitarianism, or both?
As the Assistant Controller, you have struggled to balance the books at the hospital where you work. Your employer is a tax-exempt, nonprofit hospital that has a superb emergency room and offers free
In 2014, Brendan Eich, the CEO of the Mozilla web browser organization, was fired from his job when it was discovered that he had donated $1,000 to a political campaign in favor of a California
X is an ill-tempered man who did not commit a crime and does not want to go to prison. Y, a mild-mannered taxi cab driver, did commit the crime, but he also does not want to go to prison. Ten people
In the late 1800s, three individuals were shipwrecked and stranded in the ocean. To survive, they decided to kill the weakest member of the ship's crew, eating his flesh and drinking his blood. If
The deontology concept of the Categorical Imperative implies that certain duties are never subject to exceptions. Can you think of a situation in which it would be ethical to make an exception to the
Is privacy an inalienable right that cannot be trampled upon or sold? Have you ever, in effect, sold your privacy rights in return for economic consideration?
On a well-known website, a middle-aged accountant posted a photo of herself. The photo was about 6 years old and was far more flattering than her appearance. Was the posting of this photo ethical?
The following problem is provocative and potentially controversial. However, by triggering a strong emotional response of disgust, it helps students realize that they often make decisions out of gut
A recent study shows that recent female medical school graduates earn 13% less, on average, than recent male medical school graduates. a. Is this consistent with Aristotle's philosophy of
Many hotels post a sign in guestrooms that says, "As our contribution to the environment, we ordinarily do not wash bed sheets or towels daily. If you would like us to do so, please leave these
During the summer, a large technology corporation located in a rural community provides funding for a free concert series. The concerts present varied genres of live music and are presented in a city
Before creating Berkshire Hathaway's "owner-directed" policy of social responsibility, Berkshire Hathaway requested an IRS ruling that its decision to empower shareholders would not result in them
In the aftermath of an earthquake in Chile, a large wireless phone company did not charge people for two weeks to make phone calls. This allowed customers in affected regions to let their loved ones
What pro bono activities commonly are engaged in by members of the medical and legal professions? Can you identify opportunities for accountants and businesspeople to perform pro bono activities in
When law-abiding citizens purchase a gun, they customarily are required to obtain a gun permit. Consequently, the names and addresses of people who possess guns are available in public records. A
The SEC historically has only required companies to disclose information that is "material to a reasonable investor." Assume that Intel's disclosure of the sources of its conflict mineral supplies
When a business engages in corporate social responsibility, it hopes to engender greater goodwill among its various stakeholders. a. How are these expenditures accounted for? b. If the resulting
Should the SEC require publicly traded corporations to disclose their annual expenditures on corporate social responsibility? How do think that requiring such disclosures would affect the companie's
Two wealthy individuals each invested $1 million in productive assets. The first investor purchased real estate that generated net rental income of $80,000. The second investor bought stock in a
While performing an inventory count at a medical supply company, an auditor observed that waste from radioactive isotopes produced at that facility appeared to be leaking into the surrounding soil.
As a student, you have the opportunity to work in the Volunteer Income Tax Assistance Program, commonly known as VITA. VITA volunteers principally prepare tax returns for indigent taxpayers, free of
"I focused on...green glass used for wine bottles. Glass is heavy and inert...The commodity that glass can be ground into, called 'cullet,' just isn't very valuable. The alternative to recycling
Truett Cathy, founder of the Chick-fil-A restaurant chain, wasa devout Christian who maintained a policy of keeping his restaurants closed on Sundays so his employees can spend more time with their
According to popular folklore, Robin Hood and his band of merry men "robbed from the rich to give to the poor." a. Would utilitarians approve of Robin Hood's actions? b. Would supporters of Rawls'
In your role as an internal auditor for a car manufacturer, you discovered that your employer can produce a car engine that will get 8 more miles per gallon than the existing engine. However, the
Was philosopher Rawls more concerned with the relative well-being of the less fortunate compared to the more fortunate, or was he more concerned with the absolute well-being of the less fortunate?
A coal producer in West Virginia pays its Chief Executive Officer more than 100 times the amount that it pays a typical coal miner. The CEO works in an air-conditioned office that overlooks a
A company has a diverse workforce that principally is comprised of African-Americans and Asian-Americans. According to actuarial statistics, its African-American employees will live 7 years
Two unmarried individuals, Albert and Benita, each earn an Adjusted Gross Income of $100,000 for tax purposes. Their personal and professional activities are fundamentally identical. In each of the
Did you ever shoplift when you were a child? If so, was your decision to shoplift consistent with the Becker's Rational Model?
A well-known brand of home insulation materials is pink in color. This company spends millions of dollars each year on advertising that depicts the Pink Panther cartoon character and emphasizes the
All products for cleaning windows use a slightly acidic solution that contains ammonia. One of the well-known brands of glass cleaning products uses this same solution. To make it more appealing, it
Active Telecom, a major cell phone manufacturer, recently released a new model of its highly successful brand of cell phones. Your client, a competing cell phone maker, immediately broke open one of
In Las Vegas casinos, people ordinarily convert their money into chips before placing bets at the gaming tables. Of course, chips have certain advantages over money, from the casinos' perspective,
Two taxpayers each have had $6,000 of income taxes withheld from their wages during the year. After preparing draft versions of their tax returns, the first taxpayer tentatively has a tax liability
The IRS usually announces its biggest criminal indictment for the year during the month of March. Why do you think that this occurs?
During 2014, investigations discovered that managers of hospitals serving military veterans, called VA Hospitals, were maintaining secret waiting lists of patients trying to get appointments. These
"Moose" McMonster, a large but slow defensive football linebacker, was guarding a fast wide receiver. When "Moose" saw that the receiver was highly likely to run past him and catch a touchdown pass,
Few who have seen the vivid video images of the 9/11 attack on the World Trade Center can forget these images. Images of the two planes crashing into the World Trade Center still permeate many
A criminal has taken five of your neighbors as hostages and has threatened to kill them unless five of his compatriots serving time for murder are released from prison. He has already shot one of the
Have you ever cheated on an exam, course project, or course assignment in college? a. Are you more likely, less likely, or equally likely to cheat on an exam in a course in which grades are
According to the IRS, about 17% of income goes unreported each year for tax purposes. Does the Issue-Contingent Model of moral intensity give you any insights into why cheating on income taxes is so
Before exiting a restaurant, it is customary to leave a tip equal to about 15% of the price of your meal. Although patrons are not legally required to leave a tip, virtually all customers do so. A
After finding a lost purse, you kept a small portion of the money in the purse, but not all of it, before returning the purse to its rightful owner. No one noticed you finding the purse, so no one
When you found a lost purse, several of your work colleagues noticed that you found it. You took the purse to your office, closed the door, and took a small portion of the money in the purse, but
For many years, the IRS would select 50,000 tax returns at random for audit and demand that taxpayers meticulously substantiate every line item on their tax returns. This program was called the
Professional athletes who use performance-enhancing drugs often are punished by the sports leagues that govern their conduct. A commentator stated that, "People should stop ranting about players
Have you ever knowingly worn a counterfeit version of a famous brand-name item? If so, did your action cause any harm to the company that produces goods bearing that brand name? Did it cause any harm
Yelp's Code of Business Conduct and Ethics states that employees should not "solicit contributions for any charity or political candidate from any person or entity that does business or seeks to do
After cracking your tooth on a popcorn kernel, you called your dentist's office. After explaining that your pain was excruciating, you were told by the front desk receptionist that you "could get fit
A retail store carries goods from two small beverage manufacturers. The owner of the store has asked you to pay a flat $100 "supplemental fee" weekly to be featured prominently by the checkout aisle.
An accountant performs bookkeeping services for a trust fund. When the manager of the trust fund decided to change brokerage firms, the accountant recommended that the client shift to a particular
Section 5061(a) of California's Business and Professions Code states that "a person engaged in the practice of public accountancy shall not ... pay a fee or commission to obtain a client." You are a
In the accounting profession, what is the key difference between a referral fee and a commission?
An auditor's husband is recovering from emergency surgery after being severely injured in a car accident. One of the auditor's longstanding clients sent a $180 gift basket of cheese, crackers, and
Your client is vigorously challenging the IRS's determination of your client's stock cost basis that resulted from its recent stock-for-stock acquisition of another company. Your client's claim is
Your former employer currently is being sued by its customer Brozdang, Inc. for selling it defective merchandise. Brozdang is a publicly traded corporation. You worked as a staff accountant for your
Your company is bidding against another company to sell multi-billion dollar industrial equipment to the country of Brazil. The other company is a state-owned enterprise that is owned by a country
During the course of serving on an audit engagement team, you discovered that your client last year recorded the receipt of cash as a sale rather than as a loan. As a result, the company's revenues
When you told your former college roommate that you were about to work as a staff auditor on the Engagamatic, Inc. account, your buddy said you half-jokingly, "tell me if you learn anything cool
Many high-level executives buy or sell their own company's stock immediately after the company announces quarterly earnings to avoid the appearance that they are trading based on confidential,
A call option effectively is a bet that a company's stock is going to increase in value by the date specified in the call option agreement. Call options often can be purchased for a small amount and
A put option can effectively be viewed as a "bet" that a stock's price is going to fall. After the September 11, 2001 attack on the World Trade Center, the FBI observed unusual trading activity in
A psychiatrist had a patient who was struggling with the emotional fallout from discord in her marriage. During a consultation with her psychiatrist, she mentioned that her husband, a top executive,
The owner of Giuseppi's Italian Restaurant willingly sells its delicious, but expensive, strawberry cheesecake for half-price after 10 p.m. because he will have to throw it away as stale if it
Prior to its demise, Countrywide Mortgage was one of the largest mortgage originators and loan servicers in the United States. Its top executive, Angelo Mozilo, offered mortgage loans to key
In sports gambling, when a superior opponent is clearly favored to defeat a weaker opponent, bettors often add or subtract a "point spread" to equalize a bet. For example, if Team A is favored to
Your company wants to close a major sale to the government of Ireland. A key Irish official involved in the purchasing process has told you that he would "look very favorably" upon your company if it
You and your father run a small pottery business that exports flower pots and planters to Asia. Your company's sales were only $3 million this year and your profits were less than $100,000. You try
You work in the accounting department of a defense contractor. It manufactures guns and munitions. You have learned that the CEO of the company, after sending Requests for Proposals to prospective
The purchasing representative for your company has a daughter who participates in a local Girl Scout troop. Determine whether each of the following are appropriate: a. The purchasing representative
Two applicants have applied for one space in an elite graduate program. Candidate X has the best qualifications, but Candidate Y comes from a wealthy family. The university can reasonably expect
An investment bank based in the United States wishes to be selected by the government of an economically underdeveloped foreign country to issue government-backed bonds to the American investing
An acquirer recently purchased a software design firm that has a wonderful reputation and skilled workforce. The acquirer paid a lump sum to buy the entire company. The software firm's two main
In order to continue to qualify for low-cost government-provided financing, your company must maintain a debt-to-equity ratio of less than 3 to 1 at the end of each calendar quarter. When you
Assume that your top marginal tax rate increased from 15% last year to 35% this year. Are you now more likely, or less likely, to claim fraudulent deductions on your tax return? Does the reasons that
Just before filing a tax return, Person A has determined that she owes the IRS $700 on April 15. Similarly, Person B has determined that she is entitled to receive a tax refund of $700. Which of
Joe Bettalia, a general contractor, has struggled in recent years due to a downturn in the construction market in his region of the country. During the past two years, Joe has failed to file tax
While preparing a tax return for a gentleman named Tafoya, he surprised you when he told you that he is a "Paid Assassin" and that you should, accordingly, enter that phrase on the "Type of Business"
As the newest member of your company's Budgeting and Forecasting Division, you try to be respectful and helpful to all of your colleagues. When you complimented your supervisor Sarah on her tan, she
Xerox Corporation sells, leases, and repairs photocopying machines to business customers. When a customer acquires a photocopying machine, it usually makes monthly payments over a 3-year period.
Krispy Kreme Doughnut, Inc. sells donuts through its network of stores owned and operated by independent franchisees. Franchisees criticized Krispy Kreme's former CEO Scott Livengood for forcing
Which element of the fraud triangle corresponds to each of the following items? State Incentives and Pressures, Opportunities, Attitudes and Rationalizations, or None. a. A company pays its top
A cellular service provider gives customers a "free" cell phone if they sign a two-year service contract. You are a state tax auditor. The provider records income on this sale by pro rating the sales
Xinkwabbly, a privately held software company, was started by a brilliant software programmer six years ago. The founder remained the sole shareholder of Xinkwabbly at all times. When Acquiro, Inc,
Spudville Co. has held land in Idaho for decades. Over time, Spudville appreciated in value from $3 million to $10 million. Spudville decided to sell this land to Idaho Private Equity Investors, Inc.
What is a side agreement? Should side agreements be legally enforceable?
A company sold merchandise to a wholesaler for $4 million. In a side agreement, it agreed to reimburse the wholesaler for any lost gross profit if it was unable to resell these goods for at least an
A dentist offers an in-office teeth brightening service for a cash fee of $500. As part of this offer, the dentist will provide patients with a home teeth brightening kit that uses a special
Backdato, Inc. is a start-up company with low profits and a history of operating losses. It compensates its top executives, in part, by giving them shares of company stock in the month of January,
During late-night tax preparation sessions at work, one of your male colleagues talks incessantly about how his gay-dar alerts him to which of your colleagues is gay. He also makes degrading comments
A partner at a major CPA firm once confided that "it's simple...we like to hire pretty women. Our clients generally are middle-aged men and they enjoy being around pretty women." a. Did this partner
A CPA owns a car rental agency. She is will only rent cars to individuals who are age 25 or older. A recent college graduate who works as an accountant who works for a major corporation attempted to
A CPA firm has a policy of mandatory retirement as of January 1 for "all general partners who reached the age of 60 during the preceding calendar year." On January 1, each such retiring partner
While working as a new employee at the Defense Contracting Audit Agency, you noticed that a fellow employee was studying intensely for the Financial Accounting section of the CPA Exam. You planned to
A former client has demanded that you "turn over everything immediately" relating to a client engagement that ended two months ago. The client has paid all outstanding fees. Do you have a duty to
A former client has demanded that you "turn over everything immediately" relating to a client engagement that ended one year ago. You previously did so at no charge, but the client sustained a fire

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