Tom Was Hired to Prepare and Certify a Registration Statement

question 17

Multiple Choice

Tom was hired to prepare and certify a registration statement for Blue Scales,Inc.The Securities and Exchange Commission (SEC) found some omissions of material facts in the registration statement.Which of the following statements is true of this scenario?

• A) Tom cannot be held liable as the SEC is not a member of the limited class of intended users of his statements.
• B) Tom cannot be held liable as the SEC is not in privity of contract with him.
• C) Tom can be held liable under Section 11(a) of the Securities Act of 1933 regardless of his willfulness in making misstatements of facts.
• D) Tom can avoid liability if he can show that he had reasonable grounds to believe that the statements made were true.

Appreciate the dynamics of ethnocentrism and semantic barriers in communication.

Understand the concept and significance of active listening in communication.

Recognize the various directions of communication flow (upward, downward, lateral) in organizations and their purposes.

Identify the strategies for fostering effective communication in organizational structures and design.

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Definitions:

Ilium

The largest bone of the pelvis, forming the uppermost part.

Ischium

One of the three bones that make up the pelvis, forming the lower and back part of the hip bone.

Osteoblasts

Cells responsible for bone formation.

Bone Growth

A physiological process resulting in the increase in size of bones, involving the production of new bone tissue through ossification or calcification.