1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
igomit [66]
3 years ago
11

Charles, the president of an IT company, is friends with Levi, the CEO of Cyber Industries, a company that develops and manufact

ures computer hardware. Levi tells Charles that Cyber Industries is about to announce the creation of a revolutionary new computer processor that will quadruple processing capacity and cause Cyber Industries’ sales and profits to skyrocket. Charles then purchases a large number of shares of Cyber Industries company stock before the news of the new computer processor is made public. In which illegal activity has Charles engaged
a. A Ponzi scheme
b. Short selling
c. issuing is call
Business
1 answer:
Akimi4 [234]3 years ago
7 0

Answer: Option A

 

Explanation: In simple words, Ponzi scheme refers to a scheme in which a company deceit their earlier investor by paying them from the funds of recent investors in the form of profits.

In the given case, Levi deceited Charles by making him believe of a strategy that may or may not exist in his organisation. Thus, he will pay charles from the money that he will gain from the market after the announcement of the new processor.

Hence from the above we can conclude that the correct option is A.

You might be interested in
In 1992, the Enron Development Corporation, a subsidiary of the Houston-based energy company, signed a contract to build the lar
AfilCa [17]

Answer:

Option E is correct.

All of the above

Explanation:

This is an example of political risk since The current political party in Maharashtra-Shiv sena intervened and used Enron for its selfish interests. When US department of energy issued a statement that cancelling Enron could endanger other private FDI from USA, the same was again used to further its selfish interests. Finally Maharashtra renegotiated its contract with Enron.

3 0
3 years ago
What is meant by the term "piercing the corporate veil"?select one:a.corporate directors and/or officers may be held personally
disa [49]
<span>Typically, a corporation is considered to be a unique and seperate entity from it's Board Directors and Shareholders. "Piercing the corporate veil" is the act of legally holding those Directors or Shareholders personally liable and responsible for the Corporation's actions or liabilities.</span>
6 0
2 years ago
When problem-solving, a person should ask:<br> who.<br> how.<br> where.<br> why
geniusboy [140]
Very true! sorry i don’t know what ur asking but i agree with all!!
4 0
3 years ago
Read 2 more answers
How can you value our farmers in your own simple way​
SOVA2 [1]

Answer:

By helping them

Explanation:

We need to cooperate

3 0
3 years ago
Carby Hardware has an outstanding issue of perpetual preferred stock with an annual dividend of $5.10 per share. If the required
DerKrebs [107]

Answer:

PV = $78.46153 rounded off to $78.46

Explanation:

A perpetuity is an unlimited series of cash flows that are of constant amount and occur after equal intervals of time. As they are unlimited in number, we say that they are perpetual. A perpetual preferred stock can also be said to be in form of a perpetuity as it pays a constant dividend after equal intervals of time. To calculate the price of the preferred stock, we use the present value of perpetuity formula which is,

PV = Cash flow / r

Where,

  • r is the required rate of return

PV = 5.1 / 0.065

PV = $78.46153 rounded off to $78.46

4 0
2 years ago
Other questions:
  • On August 8, 2013, Holly purchased a residential apartment building. The cost basis assigned to the building is $800,000. Holly
    12·1 answer
  • When statements in a business message contain full and unambiguous meaning, the business message is said to be
    9·1 answer
  • Continuous reinforcement schedules are most useful during which phase of learning
    9·1 answer
  • A Romer economy starts off with an initial stock of ideas equal to 100. The total population in the economy is 60, two of the wo
    14·1 answer
  • A customer came to your department with an urgent question. You promised her that you wouldcollect information about her questio
    13·1 answer
  • A company's flexible budget for the range of 35,000 units to 45,000 units of production showed variable overhead costs of $2 per
    14·1 answer
  • Finnish Motors has the following balance sheet accounts:
    12·1 answer
  • Jacob Engineering Group views and organizes its marketing activities from the viewpoint of its buyers. Management works hard to
    9·1 answer
  • _______ is a term referencing the concept that a sufficient interest must exist on the part of an insured in order to take out a
    8·1 answer
  • Foam Products, Inc., makes foam seat cushions for the automotive and aerospace industries. The company’s activity-based costing
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!