An organizational directive is the first part of the registration statement the SEC requires from issuers of new securities. It contains material information about the business and its management, the offering itself, the use to be made of the funds obtained, and certain financial statements.

Question

Quizplus · Accepted Answer

The first part of the registration statement required by the SEC is called the "prospectus," not an "organizational directive." The prospectus contains detailed information about the business, management, the offering, use of funds, and financial statements.

An Organizational Directive Is the First Part of the Registration