- 1 Marks
Question
Which of the following should NOT be the social objective of a business organisation?
A. Pay tax as at when due
B. Obey laws enacted by the National Assembly
C. Keep clean environment
D. Encourage tax avoidance
E. Encourage tax evasion
Answer
E. Encourage tax evasion
Explanation: The correct answer is E because tax evasion is illegal and unethical. A business organisation should not engage in or promote illegal activities like tax evasion. Social objectives of businesses should focus on compliance with laws (like paying taxes and obeying regulations) and contributing positively to society, such as maintaining a clean environment. Tax evasion is against the law and is not aligned with ethical business practices, while tax avoidance (option D) can be legal if done within the law, though it can be seen as ethically questionable.
- Topic: Nature of Business, Types, and Objectives
- Series: NOV 2014
- Uploader: Dotse