answer the following MCQS

no need of explanation

120.A prospectus approved by the commission shall be valid for a period of

(0.5 Points)

a) 30 days from the date of such approval

b) 60 days from the date of such approval

c) 90 days from the date of such approval

d) 120 days from the date of such approval

121.A prospectus shall not contain a statement purporting to be made by an expert unless the expert is a person

(0.5 Points)

a) who is not or has not been engaged or interested in the formation of the company

b) Who is or has been engaged or interested in the formation of the company

c) Who is engaged or interested in the promotion of the company

d) Who is engaged or interested in the management of the company

122.If a public company opts not to issue shares to the general public initially and start the business in such a case Company would be required to file with the registrar

(0.5 Points)

a) Statement of affairs

b) Statement of capital

c) Statement in lieu of prospectus

d) Statement in lieu of advertisement

123.The prospectus is a formal document and needs

(0.5 Points)

a) Approval from the board and clearance from the auditors.

b) Approval from the members and clearance from the creditors

c) Approval from the commission and clearance from the securities exchange

d) Approval from the court and clearance from the registrar

124.Once issued and securities allotted under a prospectus

(0.5 Points)

a) It shall be sent to the registrar

b) It shall be sent to the securities exchange

c) Its existence will end

d) Its existence will continue till the next AGM

125.A prospectus is required to be submitted to the SECP for approval at least

(0.5 Points)

a) 14 days before the proposed date of publication in the newspapers

b) 21 days before the proposed date of publication in the newspapers

c) 30 days before the proposed date of publication in the newspapers

d) None of the above is correct

126.Minimum time gap between the date of publication of a prospectus and the date of subscription shall be

(0.5 Points)

a) 14 days

b) 21 days

c) 30 days

d) 7 days

127.The prospectus is issued, published or circulated with the approval of the commission. The same condition also applies on ____ or ________.

(0.5 Points)

a) Prospectus, in lieu of Prospectus

b) Shelf prospectus, supplement to the prospectus

c) Memorandum of Association, Article of Association

d) All of above

128.It is customary for the authorities to require the company to arrange and write the ______ separately and readers of the prospectus are specifically advised to read the same before making any investment decision.

(0.5 Points)

a) Risk Factors

b) Risk Element

c) Profitable Aspects

d) Risk Prospects

129.____ includes banker, securities advisor, engineer, valuer, accountant, lawyer and any other person whose profession gives authority to a statement made by him.

(0.5 Points)

a) Expert

b) Professional

c) Skilled

d) All above