According to the Securities Act of 1933, which of the following statements is correct regarding an issuer of securities?
A. All securities issuers must provide potential investors with a prospectus containing specified information.
B. An issuer is permitted to advertise an initial offering of securities only through distribution of the prospectus.
C. All securities issuers must register the securities offering with the Securities and Exchange Commission (SEC).
D. If an issuer sells a security and fails to meet certain disclosure requirements, the purchaser may sell it back to the issuer and recover the price paid.
Answer: D. If an issuer sells a security and fails to meet certain disclosure requirements, the purchaser may sell it back to the issuer and recover the price paid.
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In a CVP income statement, cost of goods sold is generally
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The inclination of higher-risk individuals to be "first in line" to get and keep insurance is called
A) misrepresentation. B) excess risk. C) adverse selection. D) substandard selection."