In a "Pump-And-Dump" Scheme, the Owners of the Company

question 132

Multiple Choice

In a "pump-and-dump" scheme, the owners of the company:

• A) Falsely claim the business has high growth potential.
• B) Artificially raise the price of the stock.
• C) Sell the stock at a high price.
• D) Falsely claim the business has high growth potential, artificially raise the price of the stock, and sell the stock at a high price.

---

Definitions:

Gain on Disposal

The profit earned from the sale of an asset, calculated as the sale proceeds minus the book value of the asset sold.

Trademark

A symbol, word, or phrase legally registered or established by use as representing a company or product.

Patent

A patent is a legal right granted to an inventor or assignee, providing exclusive ownership over an invention for a certain period, typically 20 years.

Legal Life

The duration for which legal protection is granted to an intangible asset, such as a patent or copyright.