Sid Burned His Own Warehouse in an Attempt to Collect

question 29

Multiple Choice

Sid burned his own warehouse in an attempt to collect on a fire insurance policy.Sid has committed

• A)arson since he maliciously used fire to damage or destroy personal property.
• B)larceny since he committed an act intended to wrongfully obtain money from his insurance company.
• C)a crime called "burning to defraud insurers" since the crime of arson only applies to property owned by another person.
• D)an intentional tort,but not a crime since a person has a right to destroy his own property.

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Definitions:

Common Stock

Common stock represents ownership shares in a corporation, providing voting rights and entitling the shareholder to a portion of the company’s profits in the form of dividends.

Dividends in Arrears

Dividends on cumulative preferred stock that have not been paid in prior years.

Cumulative

Describes items or amounts that increase over time through successive additions, often used in the context of dividends that are accrued if not paid in a given period.

Preferred Stockholders

Investors who own preferred shares in a company, which have a higher claim on assets and earnings than common stock, often receiving dividends before common stockholders.