Rule 10 of 14 in this unit1.4

1.4 Offerings

SIE outline 1.4

Shelf Registration: Register Once, Sell in Tranches

Rule 415. Sell over time from one statement, capped at 3 years from first effectiveness. NOT an unlimited window.

The method for this kind of question
  1. 506(b) and 506(c) trade opposite things

Now answer

1 question on this screen, from this outline item's own pool, so some will test a rule you met earlier in the unit. Pick an answer, say how sure you are, then reveal. Being sure and wrong is the most useful thing that can happen here, and the coach treats it that way.

Question 1Exam level

What can a red herring, the preliminary prospectus, not carry?

How sure are you?

Correct: C. The price is not fixed until the registration is effective, so a red herring, circulated during the cooling-off period, cannot carry it.
A. Risk factors are part of what a red herring is written to disclose.
B. The business description is also part of a red herring's content.
D. Financial statements are included as well; only the final price is missing.

Unit: SIE outline 1.4

Next ruleRed Herring, Prospectus, Tombstone

The whole unit · Your plan