Fact Pattern 27-1

question 1

Multiple Choice

Fact Pattern 27-1
Sid,a director of Tech Software Company,learns that a Tech engineer has developed a new,exciting video game.Sid buys Tech stock and tells his friend Uri,who also buys Tech stock.When the new game is released three weeks later,Sid and Uri sell their stock for a big profit.
-Refer to Fact Pattern 27-1.Under SEC Rule l0b-5,Sid would not be li?able if he had waited to buy Tech stock until

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

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Definitions:

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