When Securities Are Sold Directly to a Small Group of Investors

question 95

Multiple Choice

When securities are sold directly to a small group of investors is termed:

• A)General issue
• B)Floating issue
• C)Public issue
• D)Private placement

---

Definitions:

Contract

A legally enforceable contract established between two or more entities.

Void

describes a legal situation where a contract or agreement has no legal force or effect, essentially rendering it null.

Deception

The act of misleading or deceiving someone by presenting false information or concealing the truth.

Contract

A legally binding agreement between two or more parties that is enforceable by law, outlining obligations that each party must fulfill.