Question #$1$

What was the motivation behind the securities act of $1933$ requiring firms to issue a prospectus?

A$)$ To encourage more firms to go public

B$)$ To simplify the reporting process

C$)$ To promote more private placement offerings

D$)$ To mitigate fraud in the equity markets

Question #$2$

Which condition must be met for a firm that trades in equities to comply with securities and exchange commissions $($SEC$)$ regulations?

A$)$ Membership in the financial industry regulatory authority $($FINRA$)$

B$)$ Payments pursuant to the Sarbanes$-$Oxley Act

C$)$ Certification under the Dodd Frank Act

D$)$ Participation in the municipal securities rule making board $($MSRB$)$