Certified Management Accountant 2025 – 400 Free Practice Questions to Pass the Exam

The four levels of corporate responsibilities encompass a framework that helps organizations understand their obligations to various stakeholders and society at large. The correct choice includes economic, legal, ethical, and philanthropic dimensions.

Economic responsibilities are foundational; organizations are expected to be profitable and economically viable, as this ensures their sustainability and ability to provide jobs and services. Legal responsibilities involve complying with laws and regulations to operate within the boundaries of the law, thereby fostering trust and maintaining the integrity of business practices.

Ethical responsibilities extend beyond mere compliance, requiring companies to consider what is right, fair, and just. This can involve adhering to ethical standards and practices that may not be mandated by law but are significant from a moral standpoint. Lastly, philanthropic responsibilities reflect a company's commitment to contributing positively to society through charitable initiatives, community involvement, and support for social causes.

This framework highlights that while organizations must be economically viable, their responsibilities also include following laws, addressing ethical considerations, and engaging in philanthropic efforts, which together create a well-rounded approach to corporate responsibility.