Which of the Following Is True of Private Placement of Securities

question 55

Multiple Choice

Which of the following is true of private placement of securities?

• A)Securities are placed with few large institutional investors.
• B)Securities of private firms are sold to the investing public at lower prices.
• C)The securities must be registered with the SEC.
• D)Public trading in these securities is not allowed.

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Definitions:

Modus Ponens (MP)

A form of valid argument in deductive logic that, if a given premise is true ('if P then Q'), and the antecedent (P) is also true, then the consequent (Q) must be true.

Universal Generalization (UG)

A principle in logic where a statement applies to all members of a category or class.

Existential Generalization (EG)

A logical inference rule that allows for the conclusion that at least one member of a domain possesses a certain property, based on evidence of a specific instance.

Denying the Antecedent (DN)

A logical fallacy where one assumes that if the antecedent in a conditional statement is not true, the consequent must also not be true.