All of the Following Is True About Proxy Contests Except

question 90

Multiple Choice

All of the following is true about proxy contests except for

• A) Proxy materials must be filed with the SEC immediately following their distribution to investors
• B) The names and interests of all parties to the proxy contest must be disclosed in the proxy materials
• C) Proxy materials may be distributed by firms seeking to change the composition of a target firm's board of directors
• D) Proxy materials may be distributed by the target firm seeking to influence how their shareholders vote on a particular proposal
• E) Target firm proxy materials must be filed with the SEC.

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Definitions:

Fair Market Value

The price at which an asset would sell in the marketplace between a willing buyer and a willing seller, each having reasonable knowledge of the pertinent facts.

Trade-In Allowance

The amount credited to the buyer of a new item for the value of the old item that is being traded in as part of the transaction.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset since it was acquired.

Gain Or Loss

The financial result that occurs when the selling price of an asset differs from its purchase price.