James Approaches His Supervisor with Data and a Logical Presentation

question 68

Multiple Choice

James approaches his supervisor with data and a logical presentation supporting his request for additional personnel. Which of the following power tactics is used by James?

• A) consultation
• B) legitimacy
• C) rational persuasion
• D) inspirational appeal
• E) exchange

Understand the implications of trade-offs in specific traits or behaviors.

Understand the legal responsibilities and duties of accountants under the Securities Act of 1933 and other relevant laws.

Recognize the importance of professional care and integrity in auditing and accounting practices.

Differentiate between negligence, fraud, and breach of contract in a professional context.

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Definitions:

Registration Statement

A set of documents submitted to a regulatory authority, detailing the specifics of a security offering to the public.

Prospectus

An official document that a company files with the SEC that provides details about an investment offering for sale to the public.

Short-Swing Profits

Profits earned by corporate insiders through buying and selling their own company's stock within a short period, which are subject to regulatory scrutiny and specific rules.

Statutory Insider

An individual or entity that is considered an insider for legal or regulatory purposes, often due to their position or relationship with the entity, subject to specific transaction and reporting requirements.