To Be Eligible to Use Rule 415,a Firm Must

question 53

Multiple Choice

To be eligible to use Rule 415,a firm must

• A)not have defaulted on its debt anytime in the past 5 years.
• B)guarantee the new shares will be sold evenly over a period of 3 years.
• C)have a market value of common stock in excess of $250 million.
• D)never have violated any of the provisions of the Securities Act of 1934.
• E)have an investment-grade rating.

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Definitions:

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