Pat,an Accountant,includes a False Statement in a Report for Quantity

question 53

Multiple Choice

Pat,an accountant,includes a false statement in a report for Quantity Overstock,Inc.,that is filed with the Securities and Exchange Commis-sion.Quantity publishes a misleading ad about its future prospects.Rita sees the ad and calls Stan,who buys stock in Quantity.Under Section 18 of the Securities Ex-change Act of 1934,liability may attach to

• A)Pat's report.
• B)Quantity's ad.
• C)Rita's call.
• D)Stan's purchase.