Imagine that a press release has a significant negative impact on your firm's stock price, reducing its value by more than 50% in a single day of trading! You gather from conversations in the hallway that the company's fundamentals remain strong, aside from this one-time event. You see this as a great opportunity to buy stock. Is it appropriate to act on this and to purchase company stock at its (temporary) low price, in hopes of selling it at a profit once the price rebounds? Does it make a difference whether you buy one hundred shares or one thousand shares? Is it OK to discuss the "dilemma" with family members and friends? What should you do if you do mention it to family and friends but then later feel uncomfortable about it? Can the response be 1 or 2 pg in length. Please use the materials in Chapter 10 to support your responses And can you structure it like introduction, body and then conclusion. Also the picture i uploaded can you also put this in there either body or introduction just make it flow.

Insider trading is trading of securities by those who hold private inside information that allows them to benefit from buying or selling stock (Hartman et al., 2019, pg. 379). Sarbanes- Oxley Act is Implemented on July 30, 2002, and administered by the Securities and Exchange Commission to regulate financial reporting and auditing of publicly traded companies in the United States (Hartman et al., 2019, pg. 366)