1. Francis is the general manager of accounting at the Doggie Depot, a pet supply company whose stock is traded on the New York Stock Exchange. Francis is on the team that prepares the Companys annual report as well as all company statements concerning new products. Francis purchases 50 shares of stock in Doggie Depot every month as part of his companys stock purchase plan. While preparing Doggie Depots Annual Report, he learns that Doggie Depot is planning to start a new service to deliver their products directly to their retail customers. It is expected that this new service will start within one month and that Doggie Depots stock will increase by as much as 50%. Francis also learns that this information will not be made public for two weeks. Francis immediately buys 1,000 shares of stock in Doggie Depot. He also tells his sister Phyllis, who is not an employee of Doggie Depot, to buy additional stock. Phyllis did not buy stock in Doggie Depot but she had her husband Marcus immediately buy 500 shares of stock. Although Marcus did not know why Phyllis told him to purchase shares of stock in Doggie Depot, he did manage to buy 500 shares in Doggie Depot. Did Francis engage in insider trading when he purchased the 1,000 shares of stock? Did Francis engage in insider trading by continuing to purchase 50 shares of stock as part of his companys plan? Did Marcus engage in insider trading? In answering these questions, you need to first define insider trading and explain how engaging in insider trading violates a persons legal and ethical responsibilities to their business client or employer. Then for each question you need to fully explain why you believe Francis and Marcus did or did not engage in insider trading. (10 points)