Which of the Following Involves the Sale of Stock to a Selected

question 81

Multiple Choice

Which of the following involves the sale of stock to a selected group of individuals where the stock cannot be purchased by the general public?

• A) Venture capitalists
• B) Small business investment companies
• C) Angels
• D) Private placement

---

Definitions:

Forged Instruments

Documents that are illegally altered or created to deceive or commit fraud.

Presentment Warranty

A guarantee in commercial transactions that all statements and endorsements regarding a negotiable instrument are true.

Altered Check

A negotiable instrument that has been unlawfully modified in order to benefit someone other than the intended payee, typically involving change to the amount or payee name.

Good Faith

Acting with honesty and integrity without any intention to deceive or defraud in a transaction or contract.