The double bottom line social audit procedure:
A)measures both sales and profits of a firm.
B)measures both a firm's financial performance and its efforts to meet social responsibilities.
C)develops financial rewards for managers whose fundraising contributions to community-based organizations exceed expectations.
D)indicates a preference for meeting profit goals and de-emphasizes any social contributions that would cut into profits.

Question

Quizplus · Accepted Answer

The double bottom line social audit procedure measures both a firm's financial performance (sales and profits) and its efforts to meet social responsibilities. It seeks to balance financial goals with social responsibility goals. Therefore, option B is correct. Option A is incorrect because it only measures sales and profits. Option C is incorrect because it only rewards managers who fundraise for community-based organizations, without necessarily measuring the firm's overall social responsibility efforts. Option D is incorrect because it de-emphasizes social contributions, which goes against the purpose of the double bottom line social audit procedure.

The Double Bottom Line Social Audit Procedure