Mercedes has just begun work at Photobook.com. What a great place to work! Although the salary is not high, the company has fabulous perks. The dining room provides great food from 7 a.m. to midnight, five days a week. There is also a free laundry and dry-cleaning service. Mercedes's social life has never been better. She invites her friends over for Photobook meals and has their laundry done for free. And because her job requires her to be online all the time, she has plenty of opportunity to stay in touch with her friends by messaging, tweeting, and checking Facebook updates. She is, however, shocked that one of her colleagues takes paper from the office for his children to use at home. Are these employees behaving ethically? Are they meeting their obligations as agents?

Are these individuals behaving ethically? What is their ethical duty as employees?