i had the same questions at midwestern ccp when i interviewed there last year. the main point is to assess your writing/communication skills (to make sure you actually wrote your personal statement rather than someone else writing for you). of course it won't be as good as your personal statement but they know that.
second point - answer the question correctly! turn them in of course. but! there is a twist. you don't just turn them in outright as if you're out to get them. ideally, (as stated in most honor codes in pharm school) you go to the person you think was cheating and discuss it with them (including telling them that since you are all bound by the honor code you will go to the prof about this). you then go to the prof about it and discuss it with him. the cheater may or may not be given a second chance. you need to specify in your essay that it's not up to you to what happens to the student. if the prof suspects that you are out to get the alledged cheater then he will question the legitimacy of your accusition. ultimately, it is your responsibility as a professional student to report the act, but that is it. the professor along with any other "higher-ups" will decide the cheater's fate and it is important for you, the applicant, to state this in your essay.
don't take the question lightly even though it's a very basic non-science question but don't stress to much about it. just think clearly and practically. they want a clear and concise answer with good grammar, sentence structure, transitions, etc. it's not a style analysis but it needs to reflect the writing skills in your personal statement.