Fact Pattern Sid,a Director of Tech Software Company,learns That a Tech Engineer

question 8

Multiple Choice

Fact Pattern
Sid,a director of Tech Software Company,learns that a Tech engineer has developed "Ur Call," a new,exciting video game.Sid buys Tech stock and tells his friend Velma,who also buys Tech stock.When the new game is released three weeks later,Sid and Velma sell their stock for a big profit.
-Refer to Fact Pattern 29-1B.Under SEC Rule l0b-5,Sid would not be liable if he had waited to buy Tech stock until

• A)after Sid told Velma of the new game.
• B)after Velma bought Tech stock.
• C)after the public release of the game.
• D)just before the game was released.

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Definitions:

Milgram Studies

A series of social psychology experiments conducted by Stanley Milgram, which focused on obedience to authority figures and the conflict between obedience to authority and personal conscience.

Ethical Grounds

The moral principles and values that serve as the foundation for decisions, actions, and policies in professional and personal contexts.

Charisma

A compelling attractiveness or charm that can inspire devotion in others.

Max Weber

A German sociologist, philosopher, and political economist known for his theory on the process of rationalization and his contribution to the sociology of religion and government.