Under the Securities Exchange Act of 1934 and the Williams

question 61

Multiple Choice

Under the Securities Exchange Act of 1934 and the Williams Act, a tender offer:

• A) must be disclosed if the offeror's acquisition would give him 3 percent of the target's stock.
• B) must be disclosed only to the shareholders of the target corporation.
• C) disclosure is informational to ensure that investors may make an informed decision.
• D) None of these are correct.

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Definitions:

Natural Rate

The natural rate is a concept in economics describing conditions where the economy is at equilibrium, with full employment and no inflationary or deflationary pressures.

Aggregate Supply

The aggregate amount of products and services that companies in an economy are prepared and able to offer at a specific general price level during a certain time frame.

Natural Rate

Refers to the equilibrium rate of unemployment or interest where the economy is stable, without accelerating inflation.

Unemployment

The situation in which individuals who are capable of working and actively seeking work are unable to find employment.