A company that provides little information about its operations and has not filed its audited financial statements with the Securities and Exchange Commission (SEC) would trade its stock:
A) on the OTC Bulletin Board (OTCBB).
B) in the OTC Pink Sheets.
C) on the National Association of Securities Dealers Automated Quotation System (Nasdaq).
D) on the New York Stock Exchange (NYSE).
E) on the American Stock Exchange (AMEX).

Question

Quizplus · Accepted Answer

Companies that provide little information about their operations and have not filed their audited financial statements with the SEC often trade on the OTC Pink Sheets, which is a less regulated marketplace for over-the-counter securities. The other options are unlikely because companies listed on Nasdaq, NYSE, and AMEX are required to meet certain financial and regulatory requirements, while OTCBB is a regulated quotation service for securities that are not listed on an exchange.

A Company That Provides Little Information About Its Operations and Has