When Establishing Funds, Governments Should Attempt to Minimize the Number

question 71

True/False

When establishing funds, governments should attempt to minimize the number of special revenue and other funds, instead using functional classification to record transaction detail.

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Definitions:

SEC Rule 415

Known as "shelf registration," this SEC rule allows companies to register a new issue of securities without selling the entire issue at once.

Shelf Registration

A regulatory provision that allows an issuer to register a new issue of securities without selling the entire issue at once, facilitating future sales.

Initial Registration

The process through which a company files necessary documents with the Securities and Exchange Commission (SEC) for its securities to be offered to the public for the first time.

Margin Call

A demand by a broker for an investor to deposit additional funds or securities to maintain the required minimum margin account balance.