Reno, an Engineer for Shale Corporation, Learns That the Firm

question 5

Multiple Choice

Reno, an engineer for Shale Corporation, learns that the firm will increase the dividend it pays to shareholders. Reno buys 10,000 shares of company stock. When the dividend is announced to the public and the price of the stock increases, he sells the shares for a profit. He would not be liable for insider trading if the information about the dividend was

• A)material when he sold the stock.
• B)available to the public after he bought the stock.
• C)available to the public before he bought the stock.
• D)forward-looking when he bought the stock.

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Definitions:

Benevolent

Characterized by or expressing goodwill or kindly feelings, often involving acts of kindness and charity.

Humanitarian Attitude

A perspective that emphasizes compassion and action towards alleviating human suffering, often motivating work in fields such as disaster relief and human rights.

Samsara

Reincarnation where the soul undergoes a series of births and deaths.

Reincarnation

Reincarnation is the belief or philosophical concept that the soul or spirit, after biological death, can begin a new life in a new body.