Insider Trading Occurs When Anyone Buys or Sells Stock Based

question 58

True/False

Insider trading occurs when anyone buys or sells stock based nonpublic information.

---

Definitions:

Internal Rate

Often referred to as the internal rate of return (IRR), it is a rate of return used in capital budgeting to measure and compare the profitability of investments.

Cash Flows

The cumulative sum of funds moving into and away from a company, influencing its ability to cover short-term obligations.

Payback Period

Payback period is the duration it takes for an investment to recover its initial outlay, measured from the point of investment.

Cash Inflows

All types of cash received by a business, from operations, financing activities, and investments, contributing to its cash pool.