Discuss the advantages of shelf registration.
What will be an ideal response?
Shelf registration is allowed under the SEC's rule 415. It provides many advantages to firms issuing securities.
• Securities can be issued in dribs and drabs without incurring excessive transaction costs.
• Securities can be issued on short notice.
• Issuance of securities issues can be timed to take advantage of market conditions.
• The issuing firms can make sure that underwriters compete for business.
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In advertising, ________ is a legal tactic, while ________ is not legal
A) puffery; an exaggerated claim B) an exaggerated claim; puffery C) bait-and-switch; puffery D) an exaggerated claim; bait-and-switch E) corporate social responsibility; social marketing
The United States has ______ the amount of steel and lumber that can be ______ in order to prevent the domestic producers from being pushed out of the market.
a. restricted, exported b. relaxed, manufactured c. restricted, imported d. relaxed, imported
A possessor of non-negotiable commercial paper has the same rights as the person who made the original contract
Indicate whether the statement is true or false
The purpose of the Federal Reserve is to
A. finance government operations. B. protect investors from bank failures. C. protect deposits from bank failures. D. control the supply of money and credit.