Question

the securities exchange act of 1934 requires that a company that has securities traded on either a national securities exchange or an over-the-counter market must

Answer 1

The Securities Exchange Act of 1934 requires companies with securities traded on exchanges to comply with regulations and reporting requirements.

Step-by-step explanation:

The Securities Exchange Act of 1934 requires that a company that has securities traded on either a national securities exchange or an over-the-counter market must comply with certain regulations and reporting requirements.

One of the key provisions of the Act is the requirement for companies to file regular reports with the Securities and Exchange Commission (SEC). These reports include information about the company's financial condition, operations, and any material events that may affect the value of its securities.

Another important requirement is that companies must have their securities registered with the SEC. This involves submitting detailed information about the securities to the SEC and going through a review process to ensure compliance with applicable laws and regulations.

Answer 2

The Securities Exchange Act of 1934 requires companies with securities traded on national exchanges or OTC markets to periodically file reports with the SEC to ensure transparency and fair trading practices.

Step-by-step explanation:

The Securities Exchange Act of 1934 imposes several requirements on companies with securities traded on national securities exchanges or over-the-counter (OTC) markets. One of the crucial requirements is that these companies must file periodic reports, which include annual and quarterly reports, with the Securities and Exchange Commission (SEC). These filings provide transparency and disclose important financial information and other significant details to the public and investors, ensuring a fair and orderly functioning of the securities markets.

By adhering to these regulations, companies contribute to the prevention of fraud and malpractice in the markets, helping to avoid adverse events such as the catastrophic stock market crash of 1929. The SEC's regulations also apply to brokers, dealers, and bankers involved in the sale of securities. Companies listed on various stock exchanges, such as the New York Stock Exchange (NYSE), NASDAQ, and regional stock markets, must comply with these rules to maintain their listings and to ensure ethical trading practices.