Limited-time shelf registration was introduced because of its favorable trade-off of saving issue costs versus providing disclosure.

Question:

Limited-time shelf registration was introduced because of its favorable trade-off of saving issue costs versus providing disclosure. Allowing unlimited shelf registration would circumvent “blue sky” laws that ensure proper disclosure as the financial circumstances of the firm change over time.

 LO.1

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Essentials Of Investments

ISBN: 9780697789945

8th Edition

Authors: Zvi Bodie, Alex Kane, Alan J. Marcus

Question Posted: