Goldstar Investments Has Just Learned That It Is Being Sued

question 46

Multiple Choice

Goldstar Investments has just learned that it is being sued for securities fraud.After gathering information and confirming the lawsuit,what should top management at Goldstar do next?

• A)Wait for the word to get out via social media before acting.
• B)Have someone leak the news to the media.
• C)Hold a press conference to announce the bad news to the public.
• D)Inform all Goldstar employees either personally or via electronic messages.

---

Definitions:

Bond

An interest-bearing security that obligates the issuer to pay the bondholder a specified sum of money, generally at fixed intervals, and to repay the principal at maturity.

Maturity Date

The due date on which a loan or bond must be completely paid off, including principal and interest.

Interest Earned

The amount of income generated from an investment or the amount of interest accumulated on a financial asset over a period of time.

Bond Payable

A long-term debt instrument issued by a company, promising to pay the holder a specified amount of interest over a set period and to repay the principal on the bond's maturity date.