Which of the Following Best Describes the Term "Consideration

question 6

Multiple Choice

Which of the following best describes the term "consideration"?

• A) It refers to the record of a case sent for review to a higher court.
• B) It refers to the promisor refraining from meeting a promise.
• C) It signifies a promissory note given by the promisor as a token of the transaction.
• D) It indicates what the promisor demands and receives as the price for a promise.

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Definitions:

Registration Statement

A set of documents, including financial statements and a prospectus, filed with the Securities and Exchange Commission (SEC) for a company seeking to issue publicly-traded securities.

Prospectus

An official document that companies must publish when offering securities for sale to the public, detailing the investment's risks, objectives, and financial statements.

Securities Exchange Act

A U.S. law governing the trading of securities, aimed at protecting investors through transparency and fairness.

Securities Exchange Act

A U.S. law governing the trading of securities (stocks, bonds, and securities futures) to protect investors against manipulation.