To Know: Securities Act of 1933

Question 1

The goal of the Securities Act of 1933 is to:

Answer 1

provide investors with adequate information so they can make informed investment decisions.

Question 2

The registration statement is effective on______after filing unless the SEC accelerates the effective date or requires an amendment.

Answer 2

on the twentieth day

Question 3

________permits certain issuers to offer up to $5 million of securities in any 12-month period without full registration. It imposes no limitations on the number and nature of investors, and resale is not restricted.

Answer 3

Regulation A

Question 4

_______establishes three separate exemptions (Rules 504, 505, and 506) related to small issues and small issuers.

Answer 4

Regulation D

Question 5

Under Regulation D, the SEC must be notified by filing Form D within _______ of the first offering.

Answer 5

15 days

Question 6

Rule 504 permits qualified issuers to sell ________ of securities during a 12-month period to any number of purchasers.

Answer 6

up to $1 million

Question 7

Rule 505 provides exemption from registration to all issuers other than investment companies for a limited offering of securities up to ________ in any 12-month period. The issue may be purchased by an unlimited number of accredited investors and not more than 35 nonaccredited investors/offerees.

Answer 7

$5 million

Question 8

Rule 506 permits qualified issuers to sell ______ of securities during a 12-month period to an unlimited number of accredited investors.

Answer 8

an unlimited amount