ADVANCED ACCOUNT CONNECT +PROCTORIO
ADVANCED ACCOUNT CONNECT +PROCTORIO
14th Edition
ISBN: 9781266179082
Author: Hoyle
Publisher: MCG
Question
Book Icon
Chapter 12, Problem 1Q
To determine

Describe why federal securities laws were originally enacted by Congress.

Expert Solution & Answer
Check Mark

Explanation of Solution

In 1902, the Industrial Commission suggested that all companies owned by public are needed to disclose necessary information which includes the yearly financial reports. The Congress enacted two primary pieces of the legislation of securities which are designed for restoring the trust of the investors for the capital market.

1. The Securities Act of 1933, which is known as truth in securities law which regulates the primary offerings of securities by a company or underwriter.

2. The Securities and Exchange Act of 1934 created the SEC which regulates that the securities are traded through brokers and exchanges.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!
Students have asked these similar questions
Provide accurate answer this accounting question
For the following scenarios, offset the losses for the appropriate years using the rules as applied in Trinidad and Tobago and those in Jamaica. A. In the year of assessment 2012, Company McKenzie Incor. Ltd has PYL of $3,800,000 to its disposal. In 2013, the company made net income of $4,700,000 and $3,800,000 in 2014. B. XYZ Company Limited, in the year of assessment 2015, makes net income of $8,000,000, and its PYL was $9,000,000. XZY registered in December 2014 for GCT/VAT and declared that its estimated income for the year of assessment 2015 was $2,999,000..
Provide correct answer this financial accounting question
Knowledge Booster
Background pattern image
Similar questions
SEE MORE QUESTIONS
Recommended textbooks for you
Text book image
Intermediate Financial Management (MindTap Course...
Finance
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Cengage Learning
Text book image
Entrepreneurial Finance
Finance
ISBN:9781337635653
Author:Leach
Publisher:Cengage
Text book image
CONCEPTS IN FED.TAX., 2020-W/ACCESS
Accounting
ISBN:9780357110362
Author:Murphy
Publisher:CENGAGE L
Text book image
Business/Professional Ethics Directors/Executives...
Accounting
ISBN:9781337485913
Author:BROOKS
Publisher:Cengage
Text book image
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:9781337514835
Author:MOYER
Publisher:CENGAGE LEARNING - CONSIGNMENT
Text book image
Individual Income Taxes
Accounting
ISBN:9780357109731
Author:Hoffman
Publisher:CENGAGE LEARNING - CONSIGNMENT