Randi, an accountant, includes a false statement in a report for Social Media Marketing, Inc, that is filed with the Securities and Exchange Com¬mission. When Theo buys stock in Social Media Marketingand loses money on the investment, he files a suit against Randi, alleging fraud under the 1934 Securities Exchange Act. To avoid liability, Randi can show that she
a. intended to defraud Social Media Marketing, not Theo.
b. intended to profit on stock trades generally, not only Theo's.
c. is an otherwise competent accountant.
d. was not aware her statement was false.
D
You might also like to view...
Which of the following is an example of an obvious financial reporting fraud as discussed in the text?
A) Closing the books at the end of the reporting period. B) Transferring assets to an affiliate at more than their actual value. C) Recording as expenses expenditures that should have been classified as expenses. D) Recording a liability when title to merchandise passes to the purchaser.
Which of the following types of systems typically use a digital dashboard to display an array of charts and graphs of a business's key performance indicators?
A) MIS B) TPS C) ESS D) CRM E) SCM
Hunkins Corporation has provided the following data concerning last month's operations. Purchases of raw materials$33,000Indirect materials included in manufacturing overhead$4,000Direct labor cost$58,000Manufacturing overhead applied to Work in Process$91,000 BeginningEndingRaw materials inventory$14,000$20,000Work in process inventory$57,000$70,000 How much is the total manufacturing cost for the month on the Schedule of Cost of Goods Manufactured?
A. $176,000 B. $159,000 C. $172,000 D. $229,000
The profitability index can be helpful when a financial manager encounters a situation where
capital rationing is required. Indicate whether the statement is true or false