Which of the Following Statements Is True of the Registration

question 38

Multiple Choice

Which of the following statements is true of the registration requirements of the 1933 Act?

• A)It requires the issuer of securities to register the securities with the SEC prior to their offer or sale to the public.
• B)The registration statement becomes effective on its filing by the issuer.
• C)It promotes the issuer's ability to communicate with prospective purchasers of the securities.
• D)The registration statement excludes basic rules regarding the timing,manner,and content of offers and sales. The 1933 Act requires the issuer of securities to register the securities with the SEC prior to their offer or sale to the public.Historical and current data about the issuer and its business (including certified financial statements),full details about the securities to be offered,and the use of the proceeds of the issuance,among other information,must be included in a registration statement prepared by the issuer of the securities.The issuer must file the registration statement with the SEC.

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Definitions:

Marginal Utility

The further satisfaction or benefit obtained by using an additional unit of a good or service.

Consumer Behavior

The study of how individuals make decisions to spend their resources on consumption-related items.

Marginal Utility

The boost in satisfaction from the consumption of an additional item of a good or service.

Total Utility

The overall satisfaction or pleasure a consumer derives from consuming a certain quantity of goods or services.