Exam 17: Investor Protection, E-Securities, and Wall Street Reform

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A "whistleblower bounty program" allows a person who provides information that leads to a successful SEC action in which more than $1 million is recovered to receive 10 percent to 30 percent of the money collected.

(True/False)

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Question 21

Which of the following is regulated by the Securities Act of 1933?

(Multiple Choice)

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Question 22

Section 12 of the Securities Act of 1933 provides purchasers who have been injured by securities pursuant to an unwarranted exemption to rescind the securities purchase.

(True/False)

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Question 23

An investment contract is a flexible standard for defining a security.

(True/False)

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Question 24

Interests in oil,gas,and mineral rights are classified as ________.

(Multiple Choice)

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Question 25

An accredited investor is defined as a person who does not understand the risks involved in securities investment and will suffer considerable financial damage if the investment fails.

(True/False)

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Question 26

Which of the following is true of Section 24 of the Securities Act of 1933?

(Multiple Choice)

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Question 27

Interests or instruments that are expressly mentioned in securities acts are ________ securities.

(Short Answer)

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Question 28

When a company employee makes a profit by personally purchasing shares of the corporation prior to public release of favorable information,it is not considered illegal.

(True/False)

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Question 29

Scissorwire Inc.sells shares of its stock to the public,with each share valued at $16.After a year,the company incurs a loss and the price of the stock drops to $5 per share.The company reveals that it had deliberately not registered with the SEC before going public and that it has no money to pay the investors.Which of the following is true in this situation?

(Multiple Choice)

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Question 30

Debentures are an example of ________ securities.

(Short Answer)

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Question 31

The nonissuer exemption permits local businesses to raise capital from local investors to be used in the local economy without the need to register with the SEC.

(True/False)

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Question 32

How does a company sell its shares to the public for the first time? Explain the contents of a registration statement.

(Essay)

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Question 33

The Securities and Exchange Commission (SEC)provides a(n)________ which allows a person who provides information that leads to a successful SEC action to receive 10 percent to 30 percent of the money collected over $1 million recovered by the SEC.

(Short Answer)

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(80)

Question 34

________ is a provision of the Securities Act of 1933 that imposes civil liability on a person who intentionally defrauds investors by making a misrepresentation or an omission of a material fact in a registration statement.

(Multiple Choice)

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(71)

Question 35

Defendants cannot assert a due diligence defense against liabilities arising from the violation of Section 11 of the Securities Act of 1933.

(True/False)

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(78)

Question 36

Civil liability under Section 11 is imposed on those who are negligent in not discovering fraud in their security offerings.

(True/False)

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Question 37

SEC Rule 506 is known as the ________ exemption.

(Multiple Choice)

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Question 38

Which of the following violates Section 10(b)of the Securities Exchange Act of 1934 and SEC Rule 10b-5?

(Multiple Choice)

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Question 39

Which of the following is true of Section 11 of the Securities Act of 1933?

(Multiple Choice)

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Question 40

Showing 21 - 40 of 97

Exam 17: Investor Protection, E-Securities, and Wall Street Reform

A "whistleblower bounty program" allows a person who provides information that leads to a successful SEC action in which more than $1 million is recovered to receive 10 percent to 30 percent of the money collected.

Which of the following is regulated by the Securities Act of 1933?

Section 12 of the Securities Act of 1933 provides purchasers who have been injured by securities pursuant to an unwarranted exemption to rescind the securities purchase.

An investment contract is a flexible standard for defining a security.

Interests in oil,gas,and mineral rights are classified as ________.

An accredited investor is defined as a person who does not understand the risks involved in securities investment and will suffer considerable financial damage if the investment fails.

Which of the following is true of Section 24 of the Securities Act of 1933?

Interests or instruments that are expressly mentioned in securities acts are ________ securities.

When a company employee makes a profit by personally purchasing shares of the corporation prior to public release of favorable information,it is not considered illegal.

Debentures are an example of ________ securities.

The nonissuer exemption permits local businesses to raise capital from local investors to be used in the local economy without the need to register with the SEC.

How does a company sell its shares to the public for the first time? Explain the contents of a registration statement.

The Securities and Exchange Commission (SEC)provides a(n)________ which allows a person who provides information that leads to a successful SEC action to receive 10 percent to 30 percent of the money collected over $1 million recovered by the SEC.

________ is a provision of the Securities Act of 1933 that imposes civil liability on a person who intentionally defrauds investors by making a misrepresentation or an omission of a material fact in a registration statement.

Defendants cannot assert a due diligence defense against liabilities arising from the violation of Section 11 of the Securities Act of 1933.

Civil liability under Section 11 is imposed on those who are negligent in not discovering fraud in their security offerings.

SEC Rule 506 is known as the ________ exemption.

Which of the following violates Section 10(b)of the Securities Exchange Act of 1934 and SEC Rule 10b-5?

Which of the following is true of Section 11 of the Securities Act of 1933?

Legal Heritage and the Digital Age

Ethics and Social Responsibility of Business

Courts, Jurisdiction, and Administrative Agencies

Alternative, Judicial, and E-Dispute Resolution

Constitutional Law for Business and E-Commerce

Torts and Strict Liability

Cyber Law and Cyber Crimes

Intellectual Property and Cyber Piracy

Formation and Requirements of Contracts

Performance and Breach of Contracts

Digital Law and E-Commerce

UCC Sales Contracts, Leases, and Warranties

Credit, Secured Transactions, and Bankruptcy

Small Business, General Partnerships, and Limited Partnerships

Limited Liability Companies, Limited Liability Partnerships, and Special Forms of Business

Corporations and Corporate Governance

Agency Law

Equal Opportunity in Employment

Employment Law and Worker Protection

Labor Law and Immigration Law

Antitrust Law and Unfair Trade Practices

Consumer Protection

Environmental Protection

Real Property and Land Use Regulation

International and World Trade Law

Accountants' Duties and Liability

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