Which of the Following Is Part of a Prospectus

question 36

Multiple Choice

Which of the following is part of a prospectus?

• A)Description of the proposed business activity
• B)Description of the potential market
• C)Description of the risk factors
• D)All of the above

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Definitions:

Shares Of Stock

Units of ownership in a corporation that give shareholders a claim on part of the corporation's earnings and assets.

Overhead

All ongoing business expenses not directly attributable to creating a product or service, including rent, utilities, and administrative costs.

Losing Money

The result of an investment or business activity where expenses and losses exceed revenues or gains.

Profitable

Being profitable means that a company or business generates more revenue than the costs involved in its operation, resulting in a positive financial gain.