Competency 17 Section 1

Question 1

1. The ‘compliance mentality’ is characterized by ‘ethical fading’ in which excessive attention is placed on rule following and cost-benefit analysis

Answer 1

True. (LO 17-1-1)

Question 2

2. Ethics are not the same thing as compliance. Ethical obligations go beyond the requirements generated by compliance-type rules and regulations

Answer 2

True. (LO 17-1-1)

Question 3

3. A role-specific obligation is generated by obligations that, for the most part, we voluntarily assume

Answer 3

True. (LO 17-1-2)

Question 4

4. To act autonomously means to replace your judgment with the judgment of someone else unknowingly

Answer 4

False. To act autonomously means to be free from unwanted or unknown coercion or manipulation. (LO 17-1-2)

Question 5

5. Most of us frequently face ethical dilemmas.

Answer 5

False. Ethical dilemmas are not that common. Far more common are ethical temptations in which we know the right course of action, but simply do not want to do what is right. (LO 17-1-2)

Question 6

6. The “Publicity Test” probes your willingness to be transparent and accountable for your actions.

Answer 6

True. (LO 17-1-3)

Question 7

34. Which of the following is the best definition of moral relativism? (LO 17-1-1)
    A. The theory that there is no absolute standard concerning what is moral or immoral.
    B. The theory that we should be tolerant of other people’s beliefs and values.
    C. The theory that we should not judge without understanding.
    D. The theory that there is an absolute standard of right and wrong.

Answer 7

34. The answer is A. This statement best defines moral relativism.

Question 8

35. Which of the following best describes the central ethical dilemma in working with elderly clients? (LO 17-1-2)
    A. The standard model used to promote the best interest of the client creates outcomes that harm the client.
    B. It is impossible for advisors to generate sustainable profits when advising elderly clients.
    C. Elderly clients are unusually risk tolerant.
    D. Elderly clients are irrational and make poor decisions

Answer 8

35. The answer is A. This statement best represents the central ethical dilemma

Question 9

60. Which of the following statements concerning moral perception is (are) correct? (LO 17-1-1)
    I. Moral perception is a skill that can be improved through education and training.
    II. Moral perception is required to accurately and effectively apply abstract moral principles to concrete situations.
    A. I only
    B. II only
    C. Both I and II
    D. Neither I nor II

Answer 9

60. The answer is C. Moral perception allows an individual to apply his or her moral principles and values to a particular situation. Additionally, moral perception is a skill that can be improved

Question 10

61. Which of the following statements describing the process of defining an ethical problem is (are) correct? (LO 17-1-3)
    I. It is important to use appropriate language when defining an ethical problem.
    II. It is important to collect and understand all of the relevant information before defining the problem.
    A. I only
    B. II only
    C. Both I and II
    D. Neither I nor II

Answer 10

61. The answer is C. Both statements are correct.

Question 11

88. Ethics differs from compliance in all of the following ways EXCEPT (LO 17-1-1)
    A. Ethical obligations express a minimum level of acceptable behavior.
    B. Ethics requires adherence to the spirit of the law, rather than to the letter of the law.
    C. Ethical obligations are ‘informal’ and often not always written down.
    D. We often become aware of ethical obligations when they are violated.

Answer 11

88. The answer is A. Compliance obligations express a minimum level of acceptable behavior while meeting ethical obligations requires more.

Question 12

89. All of the following are characteristics of role-specific moral obligations EXCEPT (LO 17-1-2)
    A. Generated as a result of the professional and personal roles we inhabit
    B. Generally voluntarily assumed
    C. May require additional moral obligations
    D. Generally shared by all people

Answer 12

89. The answer is D. General moral obligations are shared by all people, role-specific obligations are voluntarily assumed by those in specific roles.

Question 13

90. All of the following are conditions of autonomous choice EXCEPT (LO 17-1-2)
    A. Not being overwhelmed by emotions
    B. Being free from any advice whatsoever
    C. Being armed with all of the relevant facts
    D. The relevant facts are placed in the appropriate context

Answer 13

90. The answer is B. Autonomous choice does not mean that the individual received no guidance, just that they are free from unwanted interference