Standard Violations: CFA® Level 1 Exam - Test Prep

Blindly Adopting Ideas and Works of Others - Standard Violations

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Question

By blindly adopting the ideas and works of others without acknowledgment, you have definitely violated Standard ________. You also may have violated Standard

________ because you may be making recommendations without a reasonable basis.

Answers

Explanations

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A. B. C. D. E. F. G. H.

G

This is explicitly stated under Standard II (C) - Prohibition against Plagiarism.

The correct answer is C. II (A); IV (A.2).

Let's break down the question and the answer choices:

The question refers to violating standards, which indicates that it pertains to the CFA® (Chartered Financial Analyst®) Code of Ethics and Standards of Professional Conduct.

Standard II (A) of the CFA® Code of Ethics and Standards of Professional Conduct states that CFA® Institute members and candidates must not engage in any plagiarism, misrepresentation, or other forms of dishonesty. This includes blindly adopting the ideas and works of others without acknowledgment, which constitutes a violation of Standard II (A).

Standard IV (A.2) of the CFA® Code of Ethics and Standards of Professional Conduct pertains to material nonpublic information. While it may not be explicitly mentioned in the question, the mention of making recommendations without a reasonable basis indicates a potential violation of this standard. Standard IV (A.2) states that CFA® Institute members and candidates must not make investment recommendations or take investment actions based on material nonpublic information.

Now let's evaluate the answer choices:

A. II (A); IV (A.1): This answer choice does not cover the violation of making recommendations without a reasonable basis (mentioned in the question), so it is incorrect.

B. II (A); IV (B.1): This answer choice does not cover the violation of making recommendations without a reasonable basis (mentioned in the question), so it is incorrect.

C. II (A); IV (A.2): This answer choice accurately represents the violation of blindly adopting the ideas and works of others without acknowledgment (Standard II (A)), as well as the potential violation of making recommendations without a reasonable basis (Standard IV (A.2)). This is the correct answer.

D. II (C); IV (B.2): This answer choice refers to different standards and is not relevant to the violations described in the question, so it is incorrect.

E. II (C); IV (A.2): This answer choice correctly identifies the potential violation of making recommendations without a reasonable basis (Standard IV (A.2)), but it does not address the violation of blindly adopting the ideas and works of others without acknowledgment (Standard II (A)), so it is incorrect.

F. II (C); IV (B.1): This answer choice refers to different standards and is not relevant to the violations described in the question, so it is incorrect.

G. II (C); IV (A.1): This answer choice correctly identifies the potential violation of making recommendations without a reasonable basis (Standard IV (A.1)), but it does not address the violation of blindly adopting the ideas and works of others without acknowledgment (Standard II (A)), so it is incorrect.

H. II (A); IV (B.2): This answer choice does not cover the violation of making recommendations without a reasonable basis (mentioned in the question), so it is incorrect.

In summary, the correct answer is C. II (A); IV (A.2) because it accurately represents the violations described in the question.