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Fact Pattern 31-3 Dhani, an Accountant for Eureka, Inc., Learns of Undisclosed Company

question 63

Multiple Choice

Fact Pattern 31-3
Dhani, an accountant for Eureka, Inc., learns of undisclosed company plans to market a new laptop. Dhani buys 1,000 shares of Eureka stock. He reveals the company plans to Fay, who buys 500 shares. Fay tells Geoff, who tells Hu. Both Geoff and Hu buy 100 shares. They know that Fay got her information from Dhani. When Eureka publicly announces its new laptop, Dhani, Fay, Geoff, and Hu sell their stock for a profit.
-Refer to Fact Pattern 31-3. If Dhani is liable under the Securities Exchange Act of 1934, it will be because the information on which he based his purchase of Eureka stock was

Explain the theories of relationship maintenance and success.

Recognize the importance of situational and environmental factors in shaping behavior and interpersonal relations.

Describe the role of observational learning in the acquisition of aggressive behaviors.

Understand the principles of social exchange theory and its application to relationships.

Definitions:

Miserliness

An excessive desire to save money or spend as little as possible; extreme parsimony or stinginess.

Rationalization

A coping technique where disputable actions or emotions are rationalized in an apparently logical way to evade the actual reason behind them.

Financial Aid

Any form of funding that assists students in paying for their education, typically coming from various sources such as scholarships, grants, and loans.

Defense Mechanism

Mental tactics employed subconsciously to shield an individual from the distress caused by thoughts or emotions that are not acceptable.