Chapter 14 HW

Form 10-Q is filed with the SEC to keep both investors and experts apprised of a company's operations and financial position. For an accelerated filer, Form 10-Q is a report that is filed within:

40 days after the end of each of the first three quarters of each fiscal year.

Form 8-K must generally be submitted to the SEC within four days after the occurrence of a significant event. Which one of the following is not an event that would be reported by Form 8-K?

A change in accounting principle.

Which of the following persons is not an insider of a corporation subject to the Securities Exchange Act of 1934 registration and reporting requirements?

An owner of 5 percent of the corporation's outstanding debentures.

Which of the following securities is exempt from registration under the Securities Act of 1933?

Bonds issued by a municipality.

Which one of the following items is not required to be included in a company's periodic 8-K report filed with the SEC when significant events occur?

Election of a new vice president of marketing to replace the retiring incumbent.

A company registered under the Securities and Exchange Act of 1934 should report a significant event affecting it on:

Form 8-K.

Pix Corporation is making a $6,000,000 stock offering. Pix wants the offering to be exempt from registration under the Securities Act of 1933. Which of the following provisions of Regulation D would Pix have to comply with for the offering to be exempt?

Regulation D, Rule 506.

Formation and meaningful utilization of an audit committee of the board of directors is required of publicly traded companies that are subject to the rules of the:

Securities and Exchange Commission.

Which of the following factors by itself requires a corporation to comply with the reporting requirements of the Securities Exchange Act of 1934?

Shares listed on a national securities exchange.

The Securities and Exchange Commission was established in 1934 to help regulate the U.S. securities market. Which of the following statements is true about the SEC?

The SEC regulates securities offered for public sale.

4. An external auditor's involvement with a Form 10-Q that is being prepared for filing with the SEC would most likely consist of:

a review of the interim financial statements included in Form 10-Q.

The 1933 Securities Act provides for a 20-day review period between the filing and the effective date of the registration. During this review period, the registrant is prohibited from:

accepting offers from potential investors to purchase the securities being registered.

Form 10-K is filed with the SEC to update the information a company supplied when filing a registration statement under the Securities and Exchange Act of 1934. Form 10-K is a report that is filed by a large accelerated filer:

annually within 60 days of the end of a company's fiscal year.

In the registration and sales of new securities issues, the SEC:

does not make any guarantees regarding the material accuracy of the registration statement.

A "Tier 1" offering made under the provisions of Regulation A of the Securities Act of 1933 requires that the issuer:

file an offering circular with the SEC.

Before turning over the proceeds of a securities offering to a registrant, the underwriters frequently require a comfort letter from the public accountant. The comfort letter's purpose is to:

indicate whether the public accountant found any adverse financial change between the date of audit and the effective date of the securities offering.

A major impact of the Foreign Corrupt Practices Act of 1977 is that registrants subject to the Securities Exchange Act of 1934 are required to:

keep records that reflect the transactions and dispositions of assets and maintain a system of internal accounting controls.

Shareholders may ask or allow others to enter their vote at a shareholders' meeting that they are unable to attend. The document furnished to shareholders to provide background information for their vote is a:

proxy statement.

Regulation S-X:

specifies the general form and content requirements of financial statements filed with the SEC.

Regulation S-K disclosure requirements of the SEC deal with the company's business, properties, and legal proceedings; selected five-year summary financial data; management's discussion and analysis of financial condition and results of operations; and:

supplementary financial information such as quarterly financial data and information on the effects of changing prices.

The SEC is organized into several divisions and principal offices. The organization unit that reviews registration statements, annual reports, and proxy statements filed with the Commission is:

the Division of Corporation Finance.

Within four days after the occurrence of any event that is of material importance to the stockholders, a company must file a Form 8-K information report with the SEC to disclose the event. An example of the type of event required to be disclosed is:

the acquisition of a large subsidiary other than in the ordinary course of business.

The SEC's Regulation S-X disclosure requirements address:

the requirements for financial statements and footnote disclosures.