SIE practice questionhardReporting Requirements
Under the Securities Exchange Act of 1934, which event must be promptly reported to the SEC?
- AAll retail client purchase orders
- BMaterial changes in a public company’s financial condition✓ Correct answer
- CEach individual margin call to customers
- DEconomic indicator releases
Explanation
Why B — Material changes in a public company’s financial condition
The Securities Exchange Act of 1934 requires public companies to report material events, including material changes in financial condition. Individual retail orders, customer margin calls, and economic indicator releases are not issuer material-event reports.
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