Lee, a salesperson for Macro Corporation, learns that Macro will increase the dividend it pays to shareholders. Lee buys 1,000 shares of Macro stock. When the price increases, Lee sells his shares for a profit. Lee would not be liable for insider trading if the information about the dividend was

public before he bought the stock

Explanation:

The dividend is a sum of money paid by a company regularly to its shareholders out of its profits.

Insider trading refers to the illegal practice of trading on the stock exchange on having confidential information regarding the shares.

In this question,

Lee would not be liable for insider trading if the information about the dividend was public before he bought the stock.