The primary purpose of the Securities and Exchange Commission is to
A) regulate the issuance and trading of securities.
B) issue accounting and auditing regulations for publicly held companies.
C) prevent the trading of speculative securities.
D) enforce generally accepted accounting principles.

Question

Quizplus · Accepted Answer

The primary purpose of the Securities and Exchange Commission (SEC) is to regulate the issuance and trading of securities, including stocks, bonds, and other investments, and to ensure that investors have access to accurate and timely information about these investments. While the SEC does work to enforce accounting and auditing regulations and generally accepted accounting principles, these are secondary to its main function of regulating the securities industry. The SEC also does not work to prevent the trading of speculative securities, but instead focuses on ensuring that all securities are traded fairly and with transparency.

The Primary Purpose of the Securities and Exchange Commission Is