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What Is the Difference Between a Prospectus and a Red

Question 74

Multiple Choice

What is the difference between a prospectus and a red herring prospectus?


A) The red herring prospectus is a preliminary version distributed to potential equity investors.
B) The red herring prospectus is a corrected version of the prospectus.
C) The red herring prospectus is only for issuing long-term bonds.
D) The red herring prospectus is the report filed with the SEC but not necessarily distributed to equity investors.

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