The Securities and Exchange Commission Decides to Create a New

question 40

Multiple Choice

The Securities and Exchange Commission decides to create a new rule relating to the dissemination of material nonpublic information through social media. The first step is

• A)compile the rule with others in the Code of Federal Regulations .
• B)draft the rule.
• C)publish a notice of the proposed rulemaking.
• D)solicit public comment.

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Definitions:

Revenues

The total amount of money generated by the sale of goods, services, or other income for a company before any expenses are deducted.

Equity

The value of an asset after deducting the amount of all liabilities on that asset, representing an owner's interest in a company.

Expenses

Costs incurred by a business in the process of earning revenue, including costs such as rent, utilities, and salaries.

Equity

The remaining interest in a company's assets after all debts are subtracted, signifying the owner's stake in the business.