Wilson Bought Zimmer Corp

question 37

Multiple Choice

Wilson bought Zimmer Corp.common stock in an offering registered under the Securities Act of 1933.Baldridge & Co. ,CPAs,gave an unqualified opinion on Zimmer's financial statements that were included in the registration statement filed with the SEC.Wilson sued Baldridge under the provisions of the 1933 Act that deal with omission of facts required to be in the registration statement.Wilson must prove that:

• A)There was fraudulent activity by Baldridge.
• B)There was a material misstatement in the financial statements.
• C)Wilson relied on Baldridge's opinion.
• D)Wilson was in privity with Baldridge.

---

Definitions:

Third-party Conflict

Disputes where an outsider, who is not directly involved, plays a role in resolution, mediation, or arbitration.

Competitive Negotiators

Competitive negotiators adopt a strategy focused on winning or achieving their own goals, often at the expense of the relationship with the other party.

Concessions

Compromises made during negotiations where one party agrees to give up certain demands or conditions.

Circular Table

A round table design that facilitates equal visibility and interaction among all seated participants.