When does the thirty day period begin to determine if commissions receivable are aged?
The thirty day period begins at the end of the calendar month in which the commission is earned. Q: What level of net capital is required for a firm to participate in a firm commitment underwriting? A: In general, a firm must operate pursuant to the provisions of the $100,000 minimum net capital category in order to participate in any manner in a firm commitment underwriting. However, a $50,000 broker/dealer may participate in a firm commitment underwriting as long as it does not enter into a commitment to purchase shares related to that underwriting. Q: How can the amount of aggregate indebtedness my firm carries affect our minimum net capital requirement? A: The aggregate indebtedness for a broker/dealer may not exceed 1500 percent of its net capital. However, the threshold for aggregate indebtedness for a broker/dealer within its first twelve months of business is even lower, 800 percent of its net capital. If these limits are exceeded, a new minimum net capital requirement is estab
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