N Trest Bought a $10,000 Treasury Bill at a 2

question 51

Multiple Choice

N. Trest bought a $10,000 Treasury bill at a 2.38% discount for 13 weeks (91 days) . How much does N pay for the bond?

• A) $10,000
• B) $9,940.66
• C) $6,640.66
• D) $9,770.08

Distinguish between different legal doctrines and rules (e.g., Ultramares rule, Restatement (Second) of Torts) that affect accountant liability.

Recognize the role of privity of contract and the impact of third-party users on accountant's liability.

Understand the implications of securities laws (e.g., Securities Act of 1933, Securities Exchange Act of 1934) on accountants' responsibilities and liabilities.

Recognize the penalties and defenses applicable to accountants under common law and federal securities laws.

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Definitions:

Transtheoretical Model

A theory of behavior change that outlines five stages people go through to change their behavior: precontemplation, contemplation, preparation, action, and maintenance.

Maintenance Stage

A phase in the behavior change process where individuals work to sustain their newly adopted healthy behaviors over the long term.

Transtheoretical Model

A theory of behavioral change that outlines six stages individuals go through when changing a habit or behavior.

Relapse

A return to a previous state of disease or negative behavior after a period of improvement or recovery.