A small issuer directs a private-placement offer in State M to 10 individuals in January and to 8 different individuals in June. No offers are directed to institutions and no commissions are paid. What is the result under the USA?

1. ABoth placements qualify for exemption if each has no more than 10 purchasers.
2. BThe exemption is lost for the second placement because aggregate purchasers exceed 10.✓ Correct answer
3. COnly the first placement is exempt; the second must register.
4. DThe exemption is preserved if the Administrator does not object.

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