Rob, an Accountant for Space Inc

question 18

Multiple Choice

Rob, an accountant for Space Inc., learns of a secret company discovery of a new system of rocket propulsion and buys 1,000 shares of Space stock. When the firm publicly announces the discovery, Rob sells his shares for a profit. Under the Securities Exchange Act of 1934, he is most likely liable for

• A) none of the choices .
• B) insider trading.
• C) scienter .
• D) selling the securities without registration.

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Definitions:

Difficulty Swallowing

The sensation that it is hard to swallow food or liquids, medically known as dysphagia.

Abdominal Ascites

The accumulation of fluid in the peritoneal cavity, causing abdominal swelling, often related to liver disease or cancer.

Fibroid Tumors

Benign uterine tumors that commonly emerge during the years a woman can bear children.

Flatus

Gas in the gastrointestinal tract that is expelled through the rectum, commonly known as farting.