The Securities and Exchange Act of 1934 established, among other rules, that companies that offer their stock for sale to the public must tell the truth about their businesses, which means full disclosure of their financial condition. True or false?

Question

Social Studies

Sofia Moran

27 September, 03:22

The Securities and Exchange Act of 1934 established, among other rules, that companies that offer their stock for sale to the public must tell the truth about their businesses, which means full disclosure of their financial condition. True or false?

+2

Answers (1)

Know the Answer?

Clarence Sullivan · Answer 1

The answer is true

Explanation:

All companies listed on a stock exchange must follow the requirements outlined in the SEA of 1934. The purpose of these requirements is to ensure an environment of fairness and investor confidence.