Series 79, Chapter 14 - Exempt Transactions 2024 already passed

Series 79, Chapter 14 - Exempt Transactions Non-exempt transactions - correct answer all public offering transactions that are subject to the SEC filing and registration process defined under the Securities act of 1933. (14-403) Exempt Transactions - correct answer securities that are legally allowed to be offered and sold WITHOUT registration with the SEC. (14-403) Five types of Exempt Securities - correct answer (1) US Government Securities, (2) Municipal Bonds, (3) Securities issued by non-profits, (4) Commercial Paper and other short-term debt with a maximum maturity of no more than 270 days, (5)securities of (commercial) banks supervised by a federal or state authority. (14-403) Regulation A - correct answer Exempts small securities from registration requirements. (14-404) What are the transaction limitations (volume, time) for a company to qualify for a Regulation A registration exemption? - correct answer The issuer may not offer more than $5M in securities in any 12-month period. Existing shareholders may resell up to $1.5 M in securities, but these sales count against the $5M total. (14-404) T/F: An issuer that qualifies for a Regulation A Exemption is not required to file documentation with the SEC. - correct answer FALSE. (While the issuer need not file a registration statement, they must file an offering statement consisting of a notification, offering circular, and exhibits. They must also file any publicity documents of advertising broadcast scripts promoting the offering.) (4-404) T/F: Securities offered under Regulation A are restricted, and must include a legend. - correct answer FALSE (Reg A securities are not restricted. They can be freely traded in the market after offering.) (14-404) How are Regulation A securities reported to the SEC? - correct answer The total shares sold are aggregated and reported every 6 months. (14-404)