| A | B |
|---|
| commerce clause | Clause in the U.S. Constitution that states that the United States Congress has the power to regulate commerce "among several states." |
| security | Money investment that seeks to make a profit solely because of another person's efforts. |
| Securities and Exchange Commission (SEC) | Independent agency created in 1934 that regulates the sales of securities and the brokers, dealers, and bankers who sell them. |
| registration statement | General description of securities and of the company that is making the securities available for sale. |
| prospectus | Document containing a detailed view of the stock offering for potential inverstors. |
| merger | Occurs when one company continues its existence and absorbs another corporation that gives up its corporate identity. |
| asset acquisition | Occurs when one corporation agrees to purchase the assets or property of a second corporation. |
| stock acquisition | Occurs when an individual or a corporation purchases enough shares of stock in a corporation to control it. |
| tender offer | An offer to buy a number of shares at a specified price. |
| suitor | Company making a tender offer. |
| target | Corporation that is to be taken over by a suitor. |
