Under the "Private Placement" Exception to the Registration of Securities,the

question 75

True/False

Under the "private placement" exception to the registration of securities,the limitation on the number of investors applies to non-accredited,but not accredited,investors.

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Definitions:

Marginal Tax Rate

The rate of tax applied to your next dollar of income, indicating the percentage of tax applied to your income for each tax bracket in which you qualify.

Salvage Value

The forecasted sale price for an asset at the termination of its usability period.

MACRS Depreciation

Modified Accelerated Cost Recovery System; a method of depreciation used for tax purposes in the United States that allows for faster expense deductions.

Working Capital

The difference between a company’s current assets and current liabilities, used to fund the company's day-to-day operations.