An Accountant's Liability Under the Securities Act of 1933 Re?quires

question 6

True/False

An accountant's liability under the Securities Act of 1933 re?quires privity of contract with the purchaser of a security.

---

Definitions:

Effective Income Tax Rate

The mean rate at which a person or company is taxed, determined by dividing the total amount of tax owed by the taxable income.

Net Income

The amount of profit left over after all operating expenses, taxes, and interest payments are deducted from total revenue. It is a key indicator of a company's profitability.

Dividends

Payments made by a corporation to its shareholders, usually as a distribution of profits.

Significant Influence

The capacity to participate in the financial and operating policy decisions of an investee, but not full control or joint control over those policies.