Pearson Electric recently registered 250,000 shares of stock under SEC Rule 415.The firm plans to sell 150,000 shares this year and the remaining 100,000 shares next year.What type of registration was this?

Question

Quizplus · Accepted Answer

SEC Rule 415 refers to the shelf registration, allowing companies to register securities to be sold in the future without having to reregister for each new offering. The fact that Pearson Electric plans to sell some shares this year and others next year supports the idea of a shelf registration.

Pearson Electric Recently Registered 250,000 Shares of Stock Under SEC