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Reference - Coffee Shops

question 1

Multiple Choice

Reference - Coffee shops. Bernice wants to open a chain of coffee shops and begins by asking her friends in various states around the country to invest through the purchase of securities in the coffee shops. Her friend Robbie says that he would like to invest but that she should be sure that she satisfies requirements of the SEC. He tells her that she has to provide information to the SEC involving a description of the securities, an explanation of how proceeds will be used, information regarding the management of the company, and other matters. He tells her that she also has to provide a document to the SEC that will be provided as an advertising tool to potential investors who can rely on it to decide whether they should buy securities. Bernice says that she does not want to do that. She explains to Robbie that insofar as the coffee shop venture is concerned, she does not want to advertise; and she wants to offer securities only to a limited number of wealthy friends. Particularly, she has in mind Scott who has a net worth of at least $3 million and Mary, a psychiatrist. Mary recently filed bankruptcy because of some bad decisions involving an elaborate decoration of her office. Although her income for the past couple of years has been in the range of $80,000, business is improving based on her recent involvement with a number of patients suffering anxiety based upon a fear of alien invasion. Which of the following is the term for the document referenced by Robbie to be provided to the SEC that will be used as an advertising tool by potential investors who can rely on it to decide whether they should buy securities?

Definitions:

Control Group

A control group is a baseline group in an experiment that does not receive the experimental treatment, allowing researchers to measure the effect of the treatment by comparing it to this group.

Self-Fulfilling Prophecy

A belief or expectation that an individual holds about a future event that manifests because the individual holds it.

Subject Bias

The tendency for study participants to respond or behave in a certain way because they are aware they are being observed or evaluated.

Covert Sensitization

A cognitive-behavioral technique involving the use of unpleasant imagery to reduce the occurrence of unwanted behaviors.