Question 1

Insider trading is an example of illegal stock manipulation.

Accepted Answer

A) True 
 B)False

Question 2

Internet financial blogs and chat rooms have created a particularly hospitable environment for securities fraud.

Accepted Answer

A) True 
 B)False

Question 3

Insider trading and securities fraud have yet to move towards the Internet.

Accepted Answer

A) True 
 B)False

Question 4

Front-running refers to managers buying stock for themselves after buying it for their funds.

Accepted Answer

A) True 
 B)False

Question 5

Corporate restructuring usually means ________________.

Accepted Answer

The answer of Corporate restructuring usually means ________________....

Question 6

The Great "Chat Room" conspiracy in 2000 was the largest criminal insider trading case to date.

Accepted Answer

A) True 
 B)False

Question 7

The term "paper entrepreneurism" places a great deal of emphasis on ________________.

Accepted Answer

The answer of The term "paper entrepreneurism" places a great...

Question 8

Some economists have argued that expecting a level playing field or criticisms of fixed races is naïve, and a more laissez-faire atmosphere leads to greater efficiency.

Accepted Answer

A) True 
 B)False

Question 9

How did R.Foster Winans get caught up in insider trading?

Accepted Answer

A) Bought stock based on tips from Dennis Levine 
B) Used his computer knowledge to steal inside information 
C) Leaked information about his Wall Street Journal column 
D) Placed incorrect information in the Wall Street Journal 
A) Bought stock based on tips from Dennis Levine 
B) Used his computer knowledge to steal inside information 
C) Leaked information about his Wall Street Journal column 
D) Placed incorrect information in the Wall Street Journal

Question 10

Arbitrage involves trading in:

Accepted Answer

A) junk bonds. 
B) common stock. 
C) deal stock. 
D) penny stock. 
A) junk bonds. 
B) common stock. 
C) deal stock. 
D) penny stock.

Question 11

Paul Thayer used his position on corporate boards to get insider ________________.

Accepted Answer

The answer of Paul Thayer used his position on corporate...

Question 12

Michael Milken's scheme was exposed as a result of:

Accepted Answer

A) Milken becoming suddenly reclusive and secretive. 
B) Ivan Boetsky. 
C) salesman defection. 
D) Milken's testimony before Congress. 
A) Milken becoming suddenly reclusive and secretive. 
B) Ivan Boetsky. 
C) salesman defection. 
D) Milken's testimony before Congress.

Question 13

In return for Ivan Boesky's cooperation, the United States government let Ivan Boesky do all of the following except:

Accepted Answer

A) use inside information of his deal with the government to sell before others. 
B) serve a probated sentence. 
C) pay a mere $100 million fine. 
D) sell $1 billion in deal stocks before announcement of his cooperation. 
A) use inside information of his deal with the government to sell before others. 
B) serve a probated sentence. 
C) pay a mere $100 million fine. 
D) sell $1 billion in deal stocks before announcement of his cooperation.

Question 14

It took a national economic crisis and major recession to uncover the Bayou Hedge Fund scandal.

Accepted Answer

A) True 
 B)False

Question 15

The term "criminogenic" means:

Accepted Answer

A) a culture conducive to crime. 
B) a culture adverse to crime. 
C) a culture dominated by street crime. 
D) a culture of greed and egomania. 
A) a culture conducive to crime. 
B) a culture adverse to crime. 
C) a culture dominated by street crime. 
D) a culture of greed and egomania.

Question 16

In the 1980s, the Internet was used to drive up the price of a stock with false claims and then to sell before the public catches on.

Accepted Answer

A) True 
 B)False

Question 17

High-yield bonds were used for actual or threatened leveraged buyouts of Fortune 500 companies. Negative consequences of these takeovers or attempted takeovers include all of the following except:

Accepted Answer

A) diversion of assets from company improvement to save the company. 
B) bankruptcy avoidance. 
C) downsizing. 
D) layoffs. 
A) diversion of assets from company improvement to save the company. 
B) bankruptcy avoidance. 
C) downsizing. 
D) layoffs.

Question 18

Milken and Boesky entered into a parking arrangement that was beneficial to both of them. This arrangement involved:

Accepted Answer

A) shifting the loss of investment to the fake stock owner. 
B) limiting Drexel exposure to loss. 
C) a risky but legal arrangement. 
D) disguising the true stock owner's identity to comply with regulations. 
A) shifting the loss of investment to the fake stock owner. 
B) limiting Drexel exposure to loss. 
C) a risky but legal arrangement. 
D) disguising the true stock owner's identity to comply with regulations.

Question 19

How has the increase in financial information on the Internet changed the nature of securities crimes?

Accepted Answer

The mass audience, low costs,

Question 20

The term "insider trading" involves insiders:

Accepted Answer

A) using non-public information to buy or sell stock. 
B) trading in competitors' stock. 
C) stealing from the corporations they work for. 
D) providing misinformation to traders. 
A) using non-public information to buy or sell stock. 
B) trading in competitors' stock. 
C) stealing from the corporations they work for. 
D) providing misinformation to traders.

Insider trading is an example of illegal stock manipulation.

Internet financial blogs and chat rooms have created a particularly hospitable environment for securities fraud.

Insider trading and securities fraud have yet to move towards the Internet.

Front-running refers to managers buying stock for themselves after buying it for their funds.

Corporate restructuring usually means ________________.

The Great "Chat Room" conspiracy in 2000 was the largest criminal insider trading case to date.

The term "paper entrepreneurism" places a great deal of emphasis on ________________.

Some economists have argued that expecting a level playing field or criticisms of fixed races is naïve, and a more laissez-faire atmosphere leads to greater efficiency.

How did R.Foster Winans get caught up in insider trading?

Arbitrage involves trading in:

Paul Thayer used his position on corporate boards to get insider ________________.

Michael Milken's scheme was exposed as a result of:

In return for Ivan Boesky's cooperation, the United States government let Ivan Boesky do all of the following except:

It took a national economic crisis and major recession to uncover the Bayou Hedge Fund scandal.

The term "criminogenic" means:

In the 1980s, the Internet was used to drive up the price of a stock with false claims and then to sell before the public catches on.

High-yield bonds were used for actual or threatened leveraged buyouts of Fortune 500 companies. Negative consequences of these takeovers or attempted takeovers include all of the following except:

Milken and Boesky entered into a parking arrangement that was beneficial to both of them. This arrangement involved:

How has the increase in financial information on the Internet changed the nature of securities crimes?

The term "insider trading" involves insiders:

Introduction

Crimes Against Consumers

Unsafe Products

Environmental Crime

Institutional Corruption: Mass Media and Religion

Corporate Fraud

Fiduciary Fraud

Crimes by the Government

Corruption of Public Officials

Medical Crime

Computer Crime

Conclusions

Filters

Exam 6: Securities Fraud

Insider trading is an example of illegal stock manipulation.

Internet financial blogs and chat rooms have created a particularly hospitable environment for securities fraud.

Insider trading and securities fraud have yet to move towards the Internet.

Front-running refers to managers buying stock for themselves after buying it for their funds.

Corporate restructuring usually means ________________.

The Great "Chat Room" conspiracy in 2000 was the largest criminal insider trading case to date.

The term "paper entrepreneurism" places a great deal of emphasis on ________________.

Some economists have argued that expecting a level playing field or criticisms of fixed races is naïve, and a more laissez-faire atmosphere leads to greater efficiency.

How did R.Foster Winans get caught up in insider trading?

Arbitrage involves trading in:

Paul Thayer used his position on corporate boards to get insider ________________.

Michael Milken's scheme was exposed as a result of:

In return for Ivan Boesky's cooperation, the United States government let Ivan Boesky do all of the following except:

It took a national economic crisis and major recession to uncover the Bayou Hedge Fund scandal.

The term "criminogenic" means:

In the 1980s, the Internet was used to drive up the price of a stock with false claims and then to sell before the public catches on.

High-yield bonds were used for actual or threatened leveraged buyouts of Fortune 500 companies. Negative consequences of these takeovers or attempted takeovers include all of the following except:

Milken and Boesky entered into a parking arrangement that was beneficial to both of them. This arrangement involved:

How has the increase in financial information on the Internet changed the nature of securities crimes?

The term "insider trading" involves insiders:

Introduction

Crimes Against Consumers

Unsafe Products

Environmental Crime

Institutional Corruption: Mass Media and Religion

Corporate Fraud

Fiduciary Fraud

Crimes by the Government

Corruption of Public Officials

Medical Crime

Computer Crime

Conclusions

Filters