Fact Pattern 31-2

question 19

Multiple Choice

Fact Pattern 31-2
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 31-2. 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:

Power

The ability or capacity to influence the behavior of others or the course of events.

Child's Viewpoint

The perspective or way of perceiving the world that is unique to children, often characterized by curiosity and imaginative interpretation.

Arbitrary Rules

Rules established without any logical, scientific, or systemic reasoning often based on personal choice or random decision rather than necessity.

Securely Attached

A term in attachment theory indicating an individual, usually a child, who has a healthy attachment to a caregiver, characterized by trust and confidence in their support.