GAT Professional Standards and Ethics 3

Question 1

A financial advisor recommends a high-fee investment product that benefits them personally more than it benefits the client. This is an example of:

Accepted Answer

A fiduciary breach

Answer

A fiduciary breach occurs when an advisor places their own financial interests above those of the client they are obligated to serve.

Question 2

Which of the following best describes 'informed consent' in a professional context?

Accepted Answer

A professional obtaining agreement after fully disclosing risks and alternatives

Answer

Informed consent requires that a person receives complete, understandable information about a decision before voluntarily agreeing to it.

Question 3

A software developer is asked to add hidden tracking features to an app without telling users. This raises which primary ethical concern?

Accepted Answer

Deception and violation of user privacy

Answer

Collecting user data without disclosure deceives users and violates their privacy rights and reasonable expectations of transparency.

Question 4

In professional ethics, 'non-maleficence' means:

Accepted Answer

Avoiding actions that cause harm

Answer

Non-maleficence is the ethical obligation to refrain from causing harm, often summarized as 'first, do no harm.'

Question 5

A professional is pressured by their employer to falsify test results. The ethical course of action is to:

Accepted Answer

Refuse and document the pressure received

Answer

Refusing to falsify results and documenting the pressure protects professional integrity and creates a record of potential wrongdoing.

(GAT) General Achievement Test Practice Test