Securities Regulation

Tork purchased restricted securities that were issued pursuant to Regulation D of the Securities Act of 1933. Which of the following statements is correct regarding Tork's ability to resell the securities

The prospectus for the sale of securities of a not-for-profit corporation contained material misrepresentations due to the negligence of the person who prepared the financial statements. As a result of the misrepresentations, purchasers of the shares lost their investment. Do the anti-fraud provisions of the Securities Act of 1933 apply in this situation?

Dean, Inc., a publicly traded corporation, paid a $10,000 bribe to a local zoning official. The bribe was recorded in Dean's financial statements as a consulting fee. Dean's unaudited financial statements were submitted to the SEC as part of a quarterly filing. Which of the following federal statutes did Dean violate?

Under the Securities Act of 1933, which of the following statements most accurately reflects how securities registration affects an investor?

Which of the following securities would be regulated by the provisions of the Securities Act of 1933?

Under the Securities Act of 1933, which of the following statements concerning an offering of securities sold under a transaction exemption is correct?

Which of the following facts will result in an offering of securities being exempt from registration under the Securities Act of 1933?

Which of the following statements concerning an initial intrastate securities offering made by an issuer residing in and doing business in that state is correct?

Which of the following statements concerning the prospectus required by the Securities Act of 1933 is correct?

A preliminary prospectus, permitted under SEC Regulations, is known as the:

Which of the following transactions will be exempt from the full registration requirements of the Securities Act of 1933?

Under the Securities Exchange Act of 1934, which of the following types of instruments is excluded from the definition of "securities?"

One of the elements necessary to recover damages if there has been a material misstatement in a registration statement filed under the Securities Act of 1933 is that the:

An offering made under the provisions of Regulation A of the Securities Act of 1933 requires that the issuer:

Adler, Inc. is a reporting company under the Securities Exchange Act of 1934. The only security it has issued is voting common stock. Which of the following statements is correct?

Which of the following persons is not an insider of a corporation subject to the Securities Exchange Act of 1934 registration and reporting requirements?

Pix Corp. is making a $6,000,000 stock offering. Pix wants the offering exempt from registration under the Securities Act of 1933. Which of the following provisions of the Act would Pix have to comply with for the offering to be exempt?

Pix Corp. is making a $6,000,000 stock offering. Pix wants the offering exempt from registration under the Securities Act of 1933. Which of the following requirements would Pix have to comply with when selling the securities?

Frey, Inc. intends to make a $2,000,000 common stock offering under Rule 505 of Regulation D of the Securities Act of 1933. Frey:

Which of the following disclosures must be contained in a securities registration statement filed under the Securities Act of 1933?

Which of the following is least likely to be considered a security under the Securities Act of 1933?

Corporations that are exempt from registration under the Securities Exchange Act of 1934 are subject to the Act's:

Under the Securities Exchange Act of 1934, a corporation with common stock listed on a national stock exchange:

Regulation D of the Securities Act of 1933:

Under the liability provisions of Section 18 of the Securities Exchange Act of 1934, for which of the following actions would an accountant generally be liable?

Which of the following securities is exempt from registration under the Securities Act of 1933?

Which of the following circumstances is a defense to an accountant's liability under Section 11 of the Securities Act of 1933 for misstatements and omissions of material facts contained in a registration statement?

Under Section 12 of the Securities Exchange Act of 1934, in addition to companies whose securities are traded on a national exchange, what class of companies is subject to the SEC's continuous disclosure system?

Under Regulation D of the Securities Act of 1933, what is the maximum time period during which an exempt offering may be made?

Under the liability provisions of Section 11 of the Securities Act of 1933, a CPA who certifies financial statements included in a registration statement generally will not be liable to a purchaser of the security:

What is the standard that must be established to prove a violation of the anti-fraud provisions of Rule 10b-5 of the Securities Exchange Act of 1934?

Under the anti-fraud provisions of Section 10(b) of the Securities Exchange Act of 1934, a CPA may be liable if the CPA acted:

Which of the following transactions is subject to registration requirements of the Securities Act of 1933?

What defense must an accountant establish to be absolved from civil liability under Section 18 of the Securities Exchange Act of 1934 for false or misleading statements made in reports or documents filed under the Act?

According to the Securities Act of 1933, which of the following statements is correct regarding an issuer of securities?

Which of the following transactions is subject to registration requirements of the Securities Act of 1933?

Sam's Retail Outlet's certified public accountant prepares financial statements that omit a material fact. The financial statements are part of Sam's registration statement. An investor purchases Sam's stock. Under Section 11 of the Securities Act of 1933, the accountant can avoid liability by showing that she:

KMC, Inc., is issuing $7 million of stock in a single offering. If KMC does not want to provide investors with any material information about itself, its business, or its securities, it may only do so if:

Under Regulation D, Rule 505, of the Securities Act of 1933, which of the following statements is correct regarding a $3,000,000 stock offering sold only to accredited investors?

Pick, CPA, was engaged by Edge Corp. to audit Edge's financial statements. Pick, in performing the audit and rendering an unmodified opinion, intentionally ignored several material omissions in the financial statements. Edge included Pick's audit report in its annual filing with the SEC and in its annual stockholders' report. Drane purchased shares of Edge stock based on Drane's review of the past performance of the stock and current-year financial statements. When the omissions in the financial statements became known, the value of Edge stock declined and Drane suffered a loss. Under the provisions of Rule 10b-5 of the Securities Exchange Act of 1934, what will be the result of a suit by Drane against Pick?