Which of the following has the responsibility to ensure the ...

[kfurse]

Which of the following has the responsibility to ensure the security of all IT resources?
 a. steering committee
  b. security officer
  c. CIO
  d. systems development manager

Question 2

Doug Depp is the manager at Chutes, Inc that sells parachutes. Management's next year's bonus is based on the current year's net income.
 
  In an effort to increase his bonus, Doug decides to buy the pull-cord used in making the company's parachutes from a less reputable supplier. The supplier's prices are lower, but the pull-cords are less reliable in successfully opening the parachute.
  a. Explain how net income will be higher if the cheaper pull-cord is used in the parachutes sold to Chutes, Inc's customers.
  b. Discuss whether Doug is acting in the best interest of the company and its owners.
  c. Discuss the ethical issue and what the consequences of Doug's actions may be.
  What will be an ideal response?

[EAN94]

Answer to Question 1

B

Answer to Question 2

a. Cost of goods sold will be less thus net income will be greater.
b. Doug is acting in his best interest but not necessarily the company's and its owners' in the long-run. Doug's decision will help Chutes, Inc.'s net income in the short-run, but the decision may hurt the company in the long-run.
c. The reputation of the company could be harmed in the long-run especially if a customer were to be injured due to the failure of the parachute.