Question: Rhonda Meyer, CFA, is preparing a research report on Moon Ventures, Incorporated In the course of her research she learns the following: Moon had its
Rhonda Meyer, CFA, is preparing a research report on Moon Ventures, Incorporated In the course of her research she learns the following:
Moon had its credit rating downgraded by a prominent rating agency years ago due to sales pressure in the industry. The rating was restored months later when the pressure resolved.
Book
Moon's insider trading has been substantial over the last months. Holdings of Moon shares by officers, directors, and key employees were reduced by during that period.
Print
In Meyer's detailed report making a buy recommendation for Moon, both the credit rating downgrade and the insider trading were omitted from the report.
eferences Meyer has:
Multiple Choice
violated the Code and Standards by not including the Insider trading information and by not including the credit rating downgrade in her report.
violated the Code and Standards by not including the insider trading information in her report.
not violated the Code and Standards in her report.
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