Cam, an Accountant for Discount Inc

question 33

Multiple Choice

Cam, an accountant for Discount Inc., learns that the company's soon-to-be-announced quarterly sales figures exceed analysts' expectations. Cam tells Ed, who tells Frye, who buys 100 shares of the company's stock. Frye knows that Ed got the information from Cam. When Discount publicly announces the figures, Frye sells the stock for a profit. Under the Securities Exchange Act of 1934, Ed is most likely

• A)liable for insider trading.
• B)not liable because Ed did not prevent others from profiting.
• C)not liable because Ed did not misappropriate any information.
• D)not liable because Ed does not work for Discount.

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Definitions:

Perceptual Scaffolding

The way in which a familiar word serves as an anchor for learning new words that come immediately before or after it.

Syntactic Bootstrapping

Use of knowledge of grammar to figure out the meaning of new words.

Fast Mapping

The way in which children quickly form an idea of the meaning of an unfamiliar word they hear in a familiar and highly structured social interaction.

Babbling

Early stage of language development where infants produce sounds or syllables repeatedly without specific meaning.