Question 1

Why is the SEC's Rule 14c-3 important to the accounting profession?

Accepted Answer

Rule 14c-3 is important to the

Question 2

What is the purpose of the SEC's Regulation S-K?

Accepted Answer

Regulation S-K estab

Question 3

Which one of the following regulates the subsequent trading of securities through brokers and exchanges?

Accepted Answer

A)  The Securities Act of 1933. 
B)  The Securities Exchange Act of 1934. 
C)  The Investment Company Act of 1940. 
D)  The Investment Advisers Act of 1940. 
E)  The Sarbanes-Oxley Act of 2002. 
A)  The Securities Act of 1933. 
B)  The Securities Exchange Act of 1934. 
C)  The Investment Company Act of 1940. 
D)  The Investment Advisers Act of 1940. 
E)  The Sarbanes-Oxley Act of 2002.

Question 4

Which one of the following Federal laws was enacted in 1935?

Accepted Answer

A)  Securities Act. 
B)  Securities Exchange Act. 
C)  Trust Indenture Act. 
D)  Investment Company Act. 
E)  Public Utility Holding Company Act. 
A)  Securities Act. 
B)  Securities Exchange Act. 
C)  Trust Indenture Act. 
D)  Investment Company Act. 
E)  Public Utility Holding Company Act.

Question 5

What is a proxy? Briefly explain the importance of a proxy solicitation.

Accepted Answer

A proxy is a form signed by the sharehol

Question 6

What are the four interconnected goals that the SEC has tried to achieve?

Accepted Answer

The four interconnected goals include:
(

Question 7

Which of the following securities offerings is not exempt from registration prior to their sale?

Accepted Answer

A)  Offerings of more than $5 million. 
B)  Securities issued by governments. 
C)  Securities issued by banks. 
D)  Securities issued by savings and loan associations. 
E)  Offerings of no more than $1 million made to any number of investors within a 12-month period. 
A)  Offerings of more than $5 million. 
B)  Securities issued by governments. 
C)  Securities issued by banks. 
D)  Securities issued by savings and loan associations. 
E)  Offerings of no more than $1 million made to any number of investors within a 12-month period.

Question 8

What information needs to be included in Form 10-Q?

Accepted Answer

Information in Form 10-Q includes the fo

Question 9

What is the minimum net worth of those who are considered accredited investors?

Accepted Answer

A)  $200,000. 
B)  $400,000. 
C)  $500,000. 
D)  $1,000,000. 
E)  $2,000,000. 
A)  $200,000. 
B)  $400,000. 
C)  $500,000. 
D)  $1,000,000. 
E)  $2,000,000.

Question 10

How are the operations of the SEC funded?

Accepted Answer

The operations of the SEC are

Question 11

Which one of the following requires the registration of mutual funds that engage in investing and trading in securities?

Accepted Answer

A)  The Securities Act of 1933. 
B)  The Securities Exchange Act of 1934. 
C)  The Investment Company Act of 1940. 
D)  The Foreign Corrupt Practices Act of 1977. 
E)  The Sarbanes-Oxley Act of 2002. 
A)  The Securities Act of 1933. 
B)  The Securities Exchange Act of 1934. 
C)  The Investment Company Act of 1940. 
D)  The Foreign Corrupt Practices Act of 1977. 
E)  The Sarbanes-Oxley Act of 2002.

Question 12

Why was the Public Utility Holding Company Act of 1935 created?

Accepted Answer

There were financial reporting abuses in

Question 13

What are accredited investors?

Accepted Answer

Banks, insurance companies, an

Question 14

The SEC has usually restricted its role in establishing accounting principles to

Accepted Answer

A)  specifying the information that should be included in interim financial statements. 
B)  developing definitions of key accounting terms. 
C)  developing accounting standards for particular industries. 
D)  determining required disclosures. 
E)  the promulgation and issuance of SASs (Securities Accounting Standards). 
A)  specifying the information that should be included in interim financial statements. 
B)  developing definitions of key accounting terms. 
C)  developing accounting standards for particular industries. 
D)  determining required disclosures. 
E)  the promulgation and issuance of SASs (Securities Accounting Standards).

Question 15

The SEC's operating costs are supported through

Accepted Answer

A)  tax revenues of the federal government. 
B)  registration fees charged to issuers offering securities to the public. 
C)  fees paid by stock exchanges. 
D)  fees paid by stock brokers. 
E)  fees paid by accounting firms that practice before the SEC. 
A)  tax revenues of the federal government. 
B)  registration fees charged to issuers offering securities to the public. 
C)  fees paid by stock exchanges. 
D)  fees paid by stock brokers. 
E)  fees paid by accounting firms that practice before the SEC.

Question 16

The prospectus part of a registration contains all except which of the following?

Accepted Answer

A)  Financial statements for the issuing company audited by an independent CPA along with appropriate supplementary data. 
B)  An explanation of the intended use of the proceeds to be generated by the sale of the new securities. 
C)  A description of the risks associated with the securities. 
D)  A description of the business and the properties owned by the company. 
E)  Additional data concerning expenses of issuance. 
A)  Financial statements for the issuing company audited by an independent CPA along with appropriate supplementary data. 
B)  An explanation of the intended use of the proceeds to be generated by the sale of the new securities. 
C)  A description of the risks associated with the securities. 
D)  A description of the business and the properties owned by the company. 
E)  Additional data concerning expenses of issuance.

Question 17

Which of the following is not a security as defined by the SEC?

Accepted Answer

A)  Accounts receivable. 
B)  Notes receivable. 
C)  Treasury stock. 
D)  Debenture. 
E)  Investment contract. 
A)  Accounts receivable. 
B)  Notes receivable. 
C)  Treasury stock. 
D)  Debenture. 
E)  Investment contract.

Question 18

Which statement is false regarding the Public Company Accounting Oversight Board (PCAOB)?

Accepted Answer

A)  Regulates audit standards and independent audit firms. 
B)  Has five members appointed by the SEC. 
C)  Allows all members to be accountants, past or present. 
D)  is under the oversight and enforcement of the SEC. 
E)  is funded by fees levied on all publicly traded companies. 
A)  Regulates audit standards and independent audit firms. 
B)  Has five members appointed by the SEC. 
C)  Allows all members to be accountants, past or present. 
D)  is under the oversight and enforcement of the SEC. 
E)  is funded by fees levied on all publicly traded companies.

Question 19

Which one of the following requires the audit committee to be responsible for the appointment and compensation of the external auditor?

Accepted Answer

A)  The Securities Act of 1933. 
B)  The Securities Exchange Act of 1934. 
C)  The Investment Company Act of 1940. 
D)  The Foreign Corrupt Practices Act of 1977. 
E)  The Sarbanes-Oxley Act of 2002. 
A)  The Securities Act of 1933. 
B)  The Securities Exchange Act of 1934. 
C)  The Investment Company Act of 1940. 
D)  The Foreign Corrupt Practices Act of 1977. 
E)  The Sarbanes-Oxley Act of 2002.

Question 20

What is included in Part II of a securities registration statement?

Accepted Answer

Part II includes information t

Why is the SEC's Rule 14c-3 important to the accounting profession?

What is the purpose of the SEC's Regulation S-K?

Which one of the following regulates the subsequent trading of securities through brokers and exchanges?

Which one of the following Federal laws was enacted in 1935?

What is a proxy? Briefly explain the importance of a proxy solicitation.

What are the four interconnected goals that the SEC has tried to achieve?

Which of the following securities offerings is not exempt from registration prior to their sale?

What information needs to be included in Form 10-Q?

What is the minimum net worth of those who are considered accredited investors?

How are the operations of the SEC funded?

Which one of the following requires the registration of mutual funds that engage in investing and trading in securities?

Why was the Public Utility Holding Company Act of 1935 created?

What are accredited investors?

The SEC has usually restricted its role in establishing accounting principles to

The SEC's operating costs are supported through

The prospectus part of a registration contains all except which of the following?

Which of the following is not a security as defined by the SEC?

Which statement is false regarding the Public Company Accounting Oversight Board (PCAOB)?

Which one of the following requires the audit committee to be responsible for the appointment and compensation of the external auditor?

What is included in Part II of a securities registration statement?

The Equity Method of Accounting for Investments

Consolidation of Financial Information

Consolidations-Subsequent to the Date of Acquisition

Consolidated Financial Statements and Outside Ownership

Consolidated Financial Statements - Intra-Entity Asset Transactions

Variable Interest Entities, Intra-Entity Debt, Consolidated Cash Flo

Consolidated Financial Statements - Ownership Patterns and Income

Segment and Interim Reporting

Foreign Currency Transactions and Hedging Foreign Exchange Risk

Translation of Foreign Currency Financial Statements

Worldwide Accounting Diversity and International Standards

Accounting for Legal Reorganizations and Liquidations

Partnerships: Formation and Operations

Partnerships: Termination and Liquidation

Accounting for State and Local Governments

Accounting for State and Local Governments

Accounting and Reporting for Private Not-For-Profit Organizations

Accounting for Estates and Trusts

Filters

Exam 12: Financial Reporting and the Securities and Exchange Commission

Why is the SEC's Rule 14c-3 important to the accounting profession?

What is the purpose of the SEC's Regulation S-K?

Which one of the following regulates the subsequent trading of securities through brokers and exchanges?

Which one of the following Federal laws was enacted in 1935?

What is a proxy? Briefly explain the importance of a proxy solicitation.

What are the four interconnected goals that the SEC has tried to achieve?

Which of the following securities offerings is not exempt from registration prior to their sale?

What information needs to be included in Form 10-Q?

What is the minimum net worth of those who are considered accredited investors?

How are the operations of the SEC funded?

Which one of the following requires the registration of mutual funds that engage in investing and trading in securities?

Why was the Public Utility Holding Company Act of 1935 created?

What are accredited investors?

The SEC has usually restricted its role in establishing accounting principles to

The SEC's operating costs are supported through

The prospectus part of a registration contains all except which of the following?

Which of the following is not a security as defined by the SEC?

Which statement is false regarding the Public Company Accounting Oversight Board (PCAOB)?

Which one of the following requires the audit committee to be responsible for the appointment and compensation of the external auditor?

What is included in Part II of a securities registration statement?

The Equity Method of Accounting for Investments

Consolidation of Financial Information

Consolidations-Subsequent to the Date of Acquisition

Consolidated Financial Statements and Outside Ownership

Consolidated Financial Statements - Intra-Entity Asset Transactions

Variable Interest Entities, Intra-Entity Debt, Consolidated Cash Flo

Consolidated Financial Statements - Ownership Patterns and Income

Segment and Interim Reporting

Foreign Currency Transactions and Hedging Foreign Exchange Risk

Translation of Foreign Currency Financial Statements

Worldwide Accounting Diversity and International Standards

Accounting for Legal Reorganizations and Liquidations

Partnerships: Formation and Operations

Partnerships: Termination and Liquidation

Accounting for State and Local Governments

Accounting for State and Local Governments

Accounting and Reporting for Private Not-For-Profit Organizations

Accounting for Estates and Trusts

Filters