Some of the Main Principles That Form the Basis of a Stock

question 2

Multiple Choice

Some of the main principles that form the basis of a stock exchange's listing rules are:

• A) sufficient investor interest must be shown to warrant an entity's participation in the markets.
• B) information must be produced according to the highest standards.
• C) minimum standards of quality size, operations and disclosure must be satisfied.
• D) security holders must be consulted on matters of significance except for agreements between the entity and related parties.

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Definitions:

Alternative Payees

Parties other than the original recipient designated to receive payments or benefits in specific arrangements.

Payable

Refers to an amount of money that is owed and should be paid, often within a specific period of time.

Instrument

Refers to a legal document formalizing an agreement or right, often used in financial transactions.

Certified Check

A check that is accepted by the bank from which the funds are drawn.