Eddie, an accountant for Fresh Dairy, Inc, learns of undisclosed company plans to market a new smooth-tasting, fat-free butter. Eddie buys 10,000 shares of Fresh Dairy stock. He reveals the company plans to Giselle, who buys 5,000 shares. Giselle tells Hong, who tells Irwin, each of whom buy 1,000 shares. They know that Giselle got her information from Eddie. When Fresh Dairy publicly announces
its new product, Eddie, Giselle, Hong, and Irwin sell their stock for a profit.? Under the Securities Exchange Act of 1934, Giselle is most likely
A) liable for insider trading.
B) not liable because Giselle did not prevent others from profiting.
C) not liable because Giselle did not solicit information from Eddie.
D) not liable because Giselle does not work for Fresh Dairy.
A
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A planning tool that expresses the relationships among costs, volume, and prices and their effects on profits and losses is called ________.
A) cost-volume-profit analysis B) target profit analysis C) contribution margin ratio analysis D) breakeven point analysis
________ occurs when someone in the company identifies a need that can be met by acquiring a specific product or service
A) Solutions selling B) Proposal solicitation C) Problem recognition D) Performance review E) Real-time marketing
A purchase order is a document the purchasing department sends to the vendor to place an order.
Answer the following statement true (T) or false (F)
One rationale for establishing a price skimming objective is that ________ lends status to a product or brand by virtue of a price relatively higher than the competition.
A. product line pricing B. captive pricing C. price bundling D. reference pricing E. prestige pricing