To raise $120 million to expand operations, Premiere Movies Corporation makes a stock offering directly to sixty accredited inve
stors and twenty sophisticated, but unaccredited investors. Premiere Movies plans to notify the SEC of sales. Under the Securities Act of 1933, this issue may qualify as an "exempt" transaction:
if and only if all of the investors are also given material information about the firm
Explanation:
Based on the information provided within the question it can be said that Under the Securities Act of 1933, this issue may qualify as an "exempt" transaction if and only if all of the investors are also given material information about the firm. This also must include all of it's most recent financial statements in order for the issue to qualify as exempt.
