Which One of the Following Can Be Assumed When the SEC

Multiple Choice

Which one of the following can be assumed when the SEC approves an IPO registration?

A) The securities offering will provide value to the shareholders.
B) The issuer is financially sound.
C) The issuer will remain solvent.
D) All rules have been followed to allow for full disclosure of information.
E) The stock price is set at a level which will allow shareholders to earn a positive rate of return.