Which One of the Following Items Is Most Apt to Be

question 28

Multiple Choice

Which one of the following items is most apt to be considered material nonpublic information? Assume that none of this information is known publicly.

• A)Barbara knows that Sue, an accounting clerk, is planning on resigning on Friday.
• B)Linda knows a new receptionist has just been hired.
• C)Wendy knows that her firm's net income is continuing to increase at a steady rate.
• D)Tracy knows her employer just received patent approval on a key new product.
• E)Maria is the chief financial officer and knows the firm intends to maintain its current dividend policy.

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Definitions:

Civilian Goods

Items produced for use by civilians, rather than for military purposes.

National Defense

The protective measures taken by a nation in order to defend itself against potential aggressors, including military forces and defense strategies.

Public Goods

Are goods that are non-excludable and non-rivalrous, meaning they can be consumed by one person without preventing the consumption of the good by another, and no one can be effectively excluded from using the good.

Government-Imposed Taxes

Levies authorized by the government on individuals, corporations, and goods.