Possible Disadvantages of Private Stock Exchanges to Investors Include

question 63

Multiple Choice

Possible disadvantages of private stock exchanges to investors include

• A)only large institutional investors may purchase shares in privately listed stocks.
• B)required disclosures may be less than those required when a firm goes public.
• C)trading volume is limited.
• D)required disclosures may be less than those required when a firm goes public AND trading volume is limited.

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Definitions:

Legal Protection

Safeguards provided by law that ensure individuals or entities are shielded from unfair practices, harm, or infringement of rights.

World's Democracies

Refers to countries across the globe that are governed by democratic principles, allowing for the free and fair election of leaders, freedom of speech, and the rule of law.

Corporal Punishment

A form of physical punishment where pain is inflicted on someone as correction or discipline.

Parental Authority

The legal rights and responsibilities that parents have over their children, including care, discipline, and decision-making.