Directors Dealing in Shares of a Business on the Basis

question 24

Multiple Choice

Directors dealing in shares of a business on the basis of information that is not available to shareholders is called

• A) Limited disclosure
• B) Restrictive practice
• C) Insider-trading
• D) Restricted exchange
• E) Illegal transfer

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Definitions:

Groupthink

A psychological phenomenon occurring within a group of people, where the desire for harmony or conformity results in an irrational or dysfunctional decision-making outcome.

Brainstorming

A creative group problem-solving and idea-generating technique designed to stimulate lateral thinking and produce a wide range of ideas.

Specialize

To focus on and become an expert in a particular area or field.

Self-Censorship

The act of withholding or altering one's expression or opinions to avoid offending others or to conform to societal norms.