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According to Standard IV (B.4), Priority of Transactions, ________ is recommended when a manager has purchased a security in violation of trading policy.
A. a fine imposed by the SEC
B. forfeit of wages for one month
C. public censure
D. disgorgement
E. a civil damage
Answer: D
Explanation:
Explanation/Reference:
Explanation:
This question relates to the compliance procedures for Standard IV (B.4), one of which states that firms should establish disciplinary procedures to enforce the standard. If a manager has purchased a security in violation of trading policy, disgorgement is recommended. Managers should disgorge all profits and assume any losses from the trade.

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Explanation:
Explanation
Untitled
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