Chapter 16 Questions

The market capitalization of the filer.

Filing deadlines for Forms 10-K and 10-Q differ depending on:

Approval of the company's business plan.

Matters of shareholder action, communicated through proxy statements, include all of the following issues except:

Investment companies.

Securities issued by all of the following organizations are exempt from the registration requirements of the 1933 Securities Act except:

Serves as one of the five commissioners of the SEC.

The Chief Accountant of the SEC does all of the following except:

Financial services markets.

The Dodd-Frank Act of 2010 expanded the SEC's role in monitoring:

Allowed the government to bail out banks and other organizations.

The Emergency Economic Stabilization Act of 2008:

Penalties for violating insider trading rules were increased.

The Foreign Corrupt Practices Act of 1977 includes all of these provisions except:

Three times the amount of insiders' gains.

The Insider Trading Sanctions Act of 1984 allows the SEC to assess fines for inappropriate use of nonpublic information in amounts up to

Sharing in the gains in their clients' portfolios.

The Investment Advisers Act of 1940 prohibits investment advisers from:

Mutual funds.

The Investment Company Act of 1940 regulates the activities of: Select one:

Exempting them from certain SEC reporting requirements.

The Jumpstart Our Business Startups Act of 2012 (JOBS) facilitates capital formation by emerging growth companies by:

Shields registrants from lawsuits concerning forward-looking financial information.

The Private Securities Litigation Reform Act of 1995:

Reorganize when dictated by the public interest.

The Public Utility Holding Company Act of 1935 requires public utility holding companies to:

Division of Corporation Finance

The SEC division most frequently encountered by accountants is the:

Restrictions on the types of non-audit services that CPA firms can provide to audit clients.

The Sarbanes-Oxley Act includes which one of these provisions?

Regulates the public offering of securities.

The Securities Act of 1933:

Insures customer accounts held by brokers.

The Securities Investor Protection Corporation (SIPC):

Bonds.

The Trust Indenture Act of 1939 provides regulations for the issuance of

Form S-1

The basic SEC form used for the registration of new security issues is:

Establish audit standards and monitor auditing firms.

What is the primary mission of the PCAOB?

The information provides adequate disclosure of material facts concerning the company and the securities it proposes to sell.

When the information provided to the SEC for a new security issue meets SEC requirements, this means that:

Securities issued by a state government.

Which of the following is exempt from the reporting provisions of the 1934 Securities Act?

Short-term notes issued for working capital purposes.

Which of the following is exempt from the reporting provisions of the 1934 Securities Act?

Dividend policy

Which of the following is not a specifically required item in Form 10-K?

Quarterly reports must be audited by a qualified accountant.

Which of these statements concerning quarterly reports to the SEC is false?

To promote efficient capital allocation by ensuring that securities markets function fairly and honestly.

Which one of the following statements best describes the principal mission of the SEC?

All-or-none underwriting

Which type of underwriting arrangement relieves the issuing company of the risk that not enough capital will be raised to finance its intended projects?

Any trading in company securities based on information not available to the public.

Insider trading is:

Securities Act of 1934.

Regulations for trading in securities that are issued and outstanding are found in the: