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

question 39

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.Regarding Sid's profits on the purchase and sale of Tech stock,under Section 16(b) of the Securities Exchange Act of 1934 Tech may recapture

• A)all of Sid's profits.
• B)half of Sid's profits.
• C)10 percent of Sid's profits.
• D)none of Sid's profits.