Question

Longway Trucking, Inc., files a suit against Midge, an accountant, under the antifraud provisions of the Securities Exchange Act of 1934 and Rule 10b-5 of the Securities and Exchange Commission. To succeed in recovering damages, Longway must show that Midge
A.acted with scienter.
B.bought or sold a security.
C.is incompetent.
D.knows nothing about securities.

Answer

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