A Frequency Program Provides Incentives That Are Designed to Encourage

question 28

True/False

A frequency program provides incentives that are designed to encourage customers to make repeat purchases.

---

Definitions:

Registration Statement

A set of documents, including financial statements and other significant details, filed with a regulatory body prior to issuing securities to the public.

SEC

The U.S. Securities and Exchange Commission, a federal government agency responsible for regulating the securities industry and protecting investors.

Securities

Financial instruments representing ownership (stocks), a debt agreement (bonds), or the rights to ownership (derivatives) that can be bought and sold.

Due Diligence Defense

A legal defense used in securities law, asserting that the defendants conducted a thorough investigation and did not find any misrepresentation or fraud.