Lexy,a Salesperson for My-T-Fine Corporation,learns That My-T-Fine Will In-Crease the Dividend

question 48

Multiple Choice

Lexy,a salesperson for My-T-Fine Corporation,learns that My-T-Fine will in-crease the dividend it pays to shareholders.Lexy buys 10,000 shares of My-T-Fine stock.When the price increases,Lexy sells the shares for a profit.Lexy would not be liable for insider trading if the information about the dividend was

• A)material when she sold the stock.
• B)public after she bought the stock.
• C)public before she bought the stock.
• D)speculative when she bought the stock.

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Definitions:

Heuristic Processing

A method of decision-making or reasoning based on simplified strategies or 'rules of thumb', rather than systematic analysis.

Statistically Identical

Refers to two or more variables that have no statistically significant difference between them, indicating they can be considered equivalent for analytical purposes.

Treatment Options

Refers to the various methods available for addressing or managing a medical condition or disease.

Unconscious

The part of the mind that is inaccessible to the conscious mind but affects behavior and emotions.