Company: RFMZ
Filing Date: 2025-03-07
Form Type: N-CSRS
Source: 0001398344-25-005064
Chunk: 7

Company: RiverNorth Flexible Municipal Income Fund II, Inc.
Filing Date: 2025-03-07
Form: N-CSRS
Chunk 7
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 than those related to organizational matters and the registration of its shares under
applicable securities laws.

The Fund is a diversified, closed-end management
investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). The Articles of Incorporation
permit the Board of Directors (the “Board” or “Directors”) to authorize and issue fifty million shares of common
stock with $0.0001 par value per share. The Fund is considered an investment company and therefore follows the Investment Company accounting
and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”)
Topic 946 – Financial Services – Investment Companies.

The Fund will terminate on or before February
26, 2036; provided, that if the Board believes that under then-current market conditions it is in the best interests of the Fund to do
so, the Fund may extend the Termination Date once for up to one year, and once for an additional six months. The Fund may be converted
to an open-end investment company at any time if approved by the Board and the shareholders. Within twelve months prior to the termination
date, the Fund may conduct a tender offer to purchase 100% of the then outstanding shares. Following the completion of the tender offer,
the Fund must have at least $100 million of net assets. The Board may then eliminate the termination date and convert the Fund to a perpetual
structure upon the affirmative vote of a majority of the Board.

The Fund’s investment adviser is RiverNorth
Capital Management, LLC (the “Adviser”) and the Fund’s sub-adviser is MacKay Shields, LLC (the "Sub-Adviser").
The Fund’s primary investment objective is to seek current income exempt from regular U.S. federal income taxes (but which may be
includable in taxable income for purposes of the Federal alternative minimum tax). The Fund’s secondary investment objective is
total return.

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting
policies followed by the Fund. These policies are in conformity with generally accepted accounting principles in the United States of
America (“U.S. GAAP”). The financial statements are prepared in accordance with U.S. GAAP, which requires management to make
estimates and assumptions that affect the reported amounts and disclosures, including the disclosure of contingent assets and liabilities,
in the financial statements during the reporting period. Management believes the estimates and security valuations are