Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

7. Receivables and Investments

Introduction to Investments in Securities

Financial Accounting

7. Receivables and Investments

Introduction to Investments in Securities

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Multiple Choice

Which of the following statements accurately describes finance- and housing-related legislation as it pertains to investments in securities?

The Sarbanes-Oxley Act of 2002 was enacted primarily to regulate housing loans and mortgage rates.

The Dodd-Frank Act eliminated all requirements for financial institutions to disclose investment risks.

The Fair Housing Act governs the issuance and trading of corporate bonds in the securities market.

The Securities Act of 1933 requires companies to register securities offerings with the SEC to protect investors from fraud.

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Verified step by step guidance

Step 1: Begin by analyzing the question to identify the key focus, which is finance- and housing-related legislation as it pertains to investments in securities.

Step 2: Review each statement provided in the question and assess its accuracy based on your knowledge of financial legislation. For example, the Sarbanes-Oxley Act of 2002 primarily addresses corporate governance and financial reporting, not housing loans or mortgage rates.

Step 3: Evaluate the Dodd-Frank Act, which introduced significant financial reforms but did not eliminate all requirements for financial institutions to disclose investment risks. It aimed to increase transparency and reduce systemic risks.

Step 4: Consider the Fair Housing Act, which is focused on preventing discrimination in housing-related transactions and does not govern the issuance or trading of corporate bonds in the securities market.

Step 5: Conclude by identifying the correct statement, which is that the Securities Act of 1933 requires companies to register securities offerings with the SEC to protect investors from fraud. This aligns with the purpose of the Act to ensure transparency and safeguard investors.