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NEW QUESTION: 1
Kevin has a pair of season tickets to the Boston Red Sox games. He and his wife can't attend all the
games themselves, so Kevin has created "packages" of eight games each that he is listing for sale on
Craig's List. Do these "packages" meet the definition of securities, and, if so, does Kevin need to register
them with the state before offering them for sale?
A. The packages are not considered to be securities since each package is merely a purchase and sale
agreement between Kevin and another person. There is no third party involved. Because they do not
meet the definition of securities, Kevin does not need to register them with the state.
B. If Kevin will be profiting from the sale of the packages, the packages are defined to be securities, but
since he's selling the packages to only a few people, he will not have to register them with the state.
(Kevin may, however, be guilty of violating ticket scalping laws.)
C. Only if Kevin will be selling the packages at or below cost are the packages not considered to be
securities, in which case Kevin will not have to register them with the state.
D. Statements A and B are both true statements.
Answer: A
Explanation:
The packages are not considered to be securities since each package is simply a purchase
and sale agreement between Kevin and another person, with no third party involvement; and since they
are not securities, Kevin need not register them with the state. A buyer of one of the packages is not
expecting to earn a profit on this investment "solely through the efforts of others," which is one of the
defining characteristics of a security, as ruled by the U.S. Supreme Court in 1946.
NEW QUESTION: 2
Mr. Allen died early this year survived by his spouse Mrs. Allen. Among the items of family property are:
1.A $300,000 life insurance policy on Mr. Allen's life with Mrs. Allen designated as beneficiary. Mrs. Allen has been the owner of the policy ever since it was issued 4 years ago.
2.The family residence with a fair market value of $400,000. Mr. and Mrs. Allen own the residence jointly with the right of survivorship even though Mr. Allen purchased it with his separate funds.
3.A
$40,000 bank account. Mr. and Mrs. Allen own the account jointly with the right of survivorship even though Mrs. Allen made all the deposits.
A. $500,000
B. $520,000
C. $220,000
D. $400,000
What amount of the family property will be included in Mr. Allen's gross estate for federal estate tax purposes?
Answer: C
NEW QUESTION: 3
Refer to the exhibit.
Which statement describes the effect on the network if FastEthernet0/1 goes down temporarily?
A. FastEthernet0/1 goes into standby.
B. FastEthernet0/2 forwards traffic only until FastEthernet0/1 comes back up.
C. FastEthernet0/2 stops forwarding traffic until FastEthernet0/1 comes back up.
D. FastEthernet0/2 forwards traffic indefinitely.
Answer: D
Explanation:
Explanation/Reference:
sophisticated answer.
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