Questions And Answers 100% Correct
Securities Include Promissory notes
Stocks
Bonds
Debentures
Warrants
Subscriptions
Investment contract
1933 Security Act Corporation to Shareholder
Requires accurate disclosure of financial information and registration with SEC.
Initial offerings from the issuer (corporation)
Imposes personal liability on the signer
Negligence is enough - no scienter required.
1934 Security Act Shareholder to Shareholder
, Final Exam Les 305: Business Structure
Questions And Answers 100% Correct
Requires accurate financial reports and registration with SEC.
Secondary transfers of securities.
On the secondary market
Not from issuer (corporation)
Could be bought on an exchange
Regulates national exchanges.
Scienter required for liability.
Inadequate capitalization can not cover expenses
Fiduciaries act in the best interests of the corporation
C Corporation Taxation $ (Revenue) - C corp. and LLCs taxed as corporations (File & pay
income taxes)
Dividends to Shareholders (File & pay income taxes)