In reviewing prospectuses and registration statements, the SEC:
A) guarantees the adequacy of the disclosures made in a prospectus.
B) certifies the accuracy of the disclosures made in a prospectus.
C) passes on the merits of a particular security covered by a registration statement.
D) does not approve or disapprove of the issue.
Answer: D) does not approve or disapprove of the issue.