Asked by Keilan Harris on Jun 04, 2024

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Penny and Theodore comprise a scheme whereby Penny will send information to Theodore in regards to the moves her telecommunications company is making when she learns about it in their company's internal strategy meeting so he can make a better stock trade. This is known as ________.

A) insider trading
B) cramming
C) embezzlement
D) false token
E) check kiting

Insider Trading

Engaging in covert transactions on the stock market for personal benefit by exploiting privileged information.

Telecommunications

Telecommunications refers to the transmission of information over distances through electronic means, including telephone, radio, television, and internet communications.

Stock Trade

A Stock Trade involves the buying or selling of shares in a company through a stock market, reflecting the transfer of ownership in hopes of gaining a profit.

  • Gain insight into the definitions and segregate between sundry forms of criminal offenses, spanning white-collar crimes, crimes against property, and legal defenses for crimes.
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YB
Yahya Balc?Jun 09, 2024
Final Answer :
A
Explanation :
Insider trading involves trading a public company's stock or other securities (such as bonds or stock options) by individuals with access to nonpublic information about the company. In this scenario, Penny is providing Theodore with nonpublic information about her telecommunications company to help him make informed stock trades, which is a classic example of insider trading.