Question.2558 - Assessment Description The purpose of this assignment is to review a relevant business scenario to determine if the code of conduct and SEC prohibition may have been violated during a potential insider trading incident. In 2011, Warren Buffett reluctantly (and belatedly) acknowledged that David Sokol violated Berkshire Hathaway's insider trading rules to score a $3 million windfall profit on shares of U.S. chemicals maker Lubrizol, which rose by nearly a third after Berkshire Hathaway announced it would buy the company. Using the topic Resources, write an essay (500-750-words) in which you address the following: Review Sokol's conduct as reported in the Reuters timeline and describe if and how you believe he may have violated the "Berkshire Hathaway Inc. Code of Business Conduct and Ethics." Review Sokol's conduct as reported in the Reuters timeline and describe if and how you believe he may have violated the SEC prohibition against insider trading. Review Sokol's defense of his actions in the CNBC transcript and, in your own words, compare "unlawful behavior" and "unethical behavior." Through the Christian worldview it is believed that one should carry out one's work within the public arena with compassion, justice, and concern for the common good. Utilizing the Christian worldview, determine whether Sokol's actions were unethical using support from the "Statement on the Integration of Faith and Work." While APA style is not required for the body of this assignment, solid academic writing is expected, and documentation of sources should be presented using APA formatting guidelines, which can be found in the APA Style Guide, located in the Student Success Center. This assignment uses a rubric. Please review the rubric prior to beginning the assignment to become familiar with the expectations for successful completion. You are required to submit this assignment to LopesWrite. A link to the LopesWrite technical support articles is located in Class Resources if you need assistance.
Answer Below:
Sokol xxxxx s xxxxxxxx of xxxxxxxx shares xxxxx being xx employment xxxx Berkshire xxxxxxxx and xx relation xx possible xxxxxxxx combination xxxx Lubrizol xxxxxxxx Hataway xxxxxxx policies xxxxxxxxx Berkshire xxxxxxxx Code xx business xxxxxxx and xxxxxx and xxx Insider xxxxxxx Policies xxx Procedures xxx disclosure xx Sokol xx the xxxxxxxx of xxxxxx was xxxxxxxxxx and xxxxxxxx the xxxxxxx he xxxx the xxxxxxx Sokol xxxxxx have xxxxxxxxx the xxxx and xxx quantity xx stocks xxxxxxxxx instead xx just x passing xxxxxx According xx the xxxx ldquo xxx directors xxx executive xxxxxxxx of xxx Company xxx the xxxxx executive xxxxxxxx and xxxxx financial xxxxxxxx of xxxxxxxxx Hathaway xxxxx s xxxxxxxxxxxx shall xxxxxxxx any xxxxxxxx transaction xx relationship xxxx reasonably xxxxx be xxxxxxxx to xxxx rise xx such x conflict xx the xxxxxxxx of xxx Company xxxxx s xxxxx Committee xx action xxx be xxxxx with xxxxxxx to xxxx transaction xx party xxxxxx and xxxxx such xxxxxx has xxxx approved xx the xxxxx Committee xxxxx BERKSHIRE xxxxxxxx INC xxxx OF xxxxxxxx CONDUCT xxx ETHICS xxxxx did xxx mention xxx transaction xxxxx talking xxxxx Lubrizol xxxx Citi xxxxxxx and xxxxxxxx down xx one xxxxxxx amongst xxxxxxxx others xxxx after xxxxxx for xxxxxxxxx a xxxxxxx with xxx CEO xx Lubrizol xxx disclosure xxx not xxxx to xxxx bankers xxx incident xxxxxx be xxxx to xx a xxx violation xxx insider xxxxxxx as xxxxx did xxx possess xxx material xxxxxxxxxx information xx Berkshire xxxxxxxx would xxx Lubrizol xx not xxxx he xxx his xxxxxxxxxx in xxx company xxxxx would xxxx been xxxxxxx of xxxxxxx trading xx Sokol xxxxx have xxxxxxxx a xxxxx knowing xxxx Berkshire xxxxxxxx was xxxxxxxxx to xxx a xxxxx stake xx Lubrizol xxxxx This xxxxxxxxxxx would xxxx predicted xxx stock xxxxx to xxxxxxxx substantially xxx violation xxxxx have xxxxxxxx if xxxxx would xxxx traded xxxxxxxxxx non xxxxxx information xxxxxxxx from xxxxxxxxx amp xxxx INSIDER xxxxxxx POLICY xxx quot xxxxxxxx behaviour xxx be xxxxxxx as xxxxxxxxx not xxxxxxxxxx or xxxx effective xx any xxxxx of xxx as xxxxxxxxxxxxx from x court xx equity xxxxxx can xx defined xx moral xxxxxxxxxx as xx an xxxxxxxxxx Ethics xxx to xx with xxxxx self xxxxxxx behaviour xxxxx the xxx agency xx decision xxxxxx factor xxx unethical xxxxxxxxx the xxxxxxxx factor xx man xxxxx s xxx conscience xx unethical xxxxxxxxx may xxx necessarily xx unlawful xx unethical xxxxxxxxx can xx ethical xxx other xxxxxx But xx case xx unlawful xxxxxxxxx be xx any xxxxxx the xxxxxxxxx would xx unlawful xx does xxx change xxxx different xxxxxx Compassion xx the xxxxxxx of xxxxxxx which xxxxx in xxxxxxx how xxxxxx might xx feeling xxxxxxxxxx ensures xxxxxxxxxxx with xxx sufferer xxx being xx solidarity xxxx compassion xxxxx to xxxxxx Jesus xxxx the xxxxx of xxxxxxxxxx as xxx core xxxxxxxx block xx Christianity xxx attempt xx religion xx to xxxxx compassion xxxx work xx ensure xxxxxxx to xxxx and xx others xxxxxxxxxx and xxxxxxx is xxxxxxxx closely xxxx justice xxxxxxx charity xxx justice xx believed xx form x societal xxxxx where xxxxxxxx is xxxxx and xxxxxxxxx The xxxxxxx idea xx to xxxxxxx service xx leading xxxxxx Jesus xxxx ldquo xxxxxxx wishes xx be xxx great xxxx great xxxxx you xxxx be xxxx servant xxx whoever xxxxxx to xx first xxxxx you xxxx be xxxx slave xxxx as xxx Son xx Man xxxx not xx be xxxxxx but xx serve xxxxx Bible xxxxxxx ndash xxxxx served xxx Berkshire xxxxxxxx with xxxx integrity xxx Bible xxx indicates xxxx one xxxxxx invest xxxxxx in xxxxxxxxxx and xxxxx is xxxxxxx wrong xx making xxxxxx Mel xxxxxx amp xxx Fontrodona xx it xx said xxxxx For xxxxx one xx you xxxx he xxxxx to xxxxx a xxxxx does xxx first xxx down xxx calculate xxx cost xx see xx he xxx enough xx complete xx Otherwise xxxx he xxx laid x foundation xxx is xxx able xx finish xxx who xxxxxxx it xxxxx to xxxxxxxx him xxxxxx lsquo xxxx man xxxxx to xxxxx and xxx not xxxx to xxxxxx rsquo xxxx Business xxxxx to xxxx profit xxx one xxxxxx strive xxx earning xxxxx grow xxx succeed xxxxxxxxxxx as xxxxxxxxx can xxxx short xxx long xxxx plans xx not xxxx build xxxxx own xxxxxx but xxxx to xxx to xxxxxxxxxxxx rsquo x worth xxxxx was xxx unethical xx he xxx invested xx the xxxx by xxx own xxxxxxxx and xx the xxxx time xxxxxxxx the xxxx to xxxxxxxxx Hathaway xx he xxxxxx that xx would xx profitable xxx the xxxx to xxxxxx in xx References xxxxxxx TRADING xxxxxx Sec xxx Retrieved xxxxxxxx from xxxxx www xxx gov xxxxxxxx edgar xxxx ex xxx BERKSHIRE xxxxxxxx INC xxxx OF xxxxxxxx CONDUCT xxx ETHICS xxxxx p xxxxxxxxx February xxxx https xxx berkshirehathaway xxx govern xxxxxx pdf xxxxxxxxx H xxxxxxxxx Sokol xx the xxxx Least xxxxxxxx Berkshire xxxxx s xxxx of xxxxxx CNBC xxxxxxxxx February xxxx https xxx cnbc xxx id xxx eacute x amp xxx Fontrodona x Christian xxxxxx and xxxxxxxxxxxx in xxxxxxx Business xxxxxxxxxxxxx Editorial xxxxxxxxxxxx Journal xx Business xxxxxx - xxxxx doi xxx s x - xMore Articles From Finance
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