To Which of the Following Will the 10b Prohibitions on Insider

question 148

Multiple Choice

To which of the following will the 10b prohibitions on insider trading apply?

• A)An officer exercising stock options on the day before the company announces its earnings for the quarter.
• B)An officer exercising stock options on the day before the company reveals an SEC investigation.
• C)An officer exercising stock options on the day before the company announces an earnings reversal.
• D)An officer's son buying stock on the day before the company announces an earnings increase.
• E)All of the above are violations of 10b.

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Definitions:

Out-group

A social group to which an individual does not identify or belong, often seen as different or separate from one’s own in-group.

Stereotype

Overgeneralized beliefs about a particular group of people, which do not take individual differences into account and can lead to prejudicial attitudes and discrimination.

Antisocial Behavior

Actions that harm or lack consideration for the well-being of others, often violating social norms.

Scapegoating

The practice of unfairly blaming an individual or group for problems or negative outcomes, often as a way of deflecting responsibility.