Asked by
Patrick Lawrence
on Nov 30, 2024
Verified
Registration of securities with the SEC guarantees to a potential investor the financial soundness of the business represented by the stock.
Registration of Securities
The process of filing the necessary documents with the Securities and Exchange Commission before securities can be offered for sale to the public.
Financial Soundness
An indication that an entity is stable, solvent, and has the capability to meet its financial obligations.
- Become aware of the legal effects and potential liabilities ensuing from disregarding securities regulations.
Verified Answer
RP
Learning Objectives
- Become aware of the legal effects and potential liabilities ensuing from disregarding securities regulations.