The president of a company says that new products to be introduced are sure to double company profits. Based on this, investors buy stock in the company, pushing up its price. The products flop, the company loses money, so the stock price falls. Investors are most likely to sue the president of the company under what theory provided by the securities law?
a. liability for mismanagement b. liability for insider trading
c. liability for misstatements
d. liability for securities negligence
e. none of the other choices; there is no basis for a lawsuit here
c
Business
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Pretests are best done by personal interviews, even if the actual survey is to be conducted by mail, telephone, or electronic means
Indicate whether the statement is true or false
Business
A manufacturer that offers cash or gifts to dealers for encouraging the purchase of its products is using ________
A) coupons B) push money C) promotional products D) premiums E) bonuses
Business