As Part of a Stock Offering for Design Media Corporation

question 44

Multiple Choice

As part of a stock offering for Design Media Corporation, the firm's accountant Eve intentionally misrepresents material facts in the prospectus. Fred buys the stock unaware of the misrepresentation and suffers a loss. Eve may be subject to

• A)none of the choices.
• B)job termination but no other sanctions, penalties, or liability.
• C)a fine, imprisonment, and damages.
• D)professional censure but no criminal sanctions or civil liability.

---

Definitions:

Sensitive Period

A specific time in an organism's development when it is more responsive to certain stimuli and quicker to learn particular skills.

Morphemes

are the smallest grammatical units in a language that have semantic meaning, such as roots, prefixes, and suffixes.

Mental Abilities

The capacity to perform cognitive tasks, solve problems, and learn from experiences.

Babbling

Early stage of language development where infants make sounds that resemble speech as they experiment with vocalization.