​Fact Pattern 20-2

question 61

Multiple Choice

​Fact Pattern 20-2
Sid,a director of Tech Software Company,learns that a Tech engineer has developed a new,exciting video game.Sid buys Tech stock and tells his friend Uri,who also buys Tech stock.When the new game is released three weeks later,Sid and Uri sell their stock for a big profit.
-Refer to Fact Pattern 20-2.Regarding Sid's profits on the purchase and sale of Tech stock,under Section 16(b) of the Securities Exchange Act of 1934 Tech may recapture

• A)all of Sid's profits.
• B)half of Sid's profits.
• C)10 percent of Sid's profits.
• D)none of Sid's profits.

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Definitions:

Sectoral Level

Pertains to the division or categorization of the economy or labor market into sectors based on economic activities.

National Level

A scale of operation or consideration encompassing an entire country.

International Level

Pertaining to or involving two or more nations or the global scope of activities.

Employee Association

An organization that represents the collective interests of employees, often in negotiations with the employer.