Which of the following statements is FALSE?
A) Underwriters appear to use the information they acquire during the book-building stage to intentionally underprice the IPO, thereby reducing their exposure to losses.
B) The green shoe option restricts an underwriter to issue more stock at the IPO offer price.
C) The lead underwriter usually makes a market in the stock by matching buyers and sellers and assigns an analyst to cover it.
D) In most cases, the existing shareholders are subject to a 180-day lockup; they cannot sell their shares for 180 days after the IPO. Once the lockup period expires, they are free to sell their shares.
Answer: B
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For purposes of Title VII of the Civil Rights Act of 1964, "national origin" does NOT include ________.
A. the place of origin of a person's ancestors B. color or complexion of a person's skin C. physical, linguistic, or cultural characteristics D. heritage
The International Chamber of Commerce offers a permanent ________ tribunal
A) arbitration B) mediation C) summary jury D) mock jury
Tierra has been a loyal customer of Apple for years. She likes to own the latest products and looks forward to announcements about product releases. She owns an Apple phone, iPad, and MacBook and hopes to purchase the new model phone when it's released in the fall. Tierra was talking to one of her friends about Apple and was surprised to learn that Apple was involved in some workforce-related issues at their overseas plant. Her friend was telling her that Apple paid very low wages and people were required to work long hours. Tierra reasoned that this issue must be related to a third-party manufacturer since Apple would never treat their employees this way. She dismisses the incidence and explained to her friend that it must have been an honest mistake. What type of process is Tierra
utilizing with regard to the information about Apple? A. Selective exposure B. Selective distortion C. Selective retention D. Selective perception
Two firms-Tangerine Inc. and Cyan Inc. analyze the same project for capital budgeting decision. Tangerine Inc. determines that the project's internal rate of return (IRR) is 9 percent. Cyan Inc. uses the net present value (NPV) method and determines that the project is unacceptable. Given this information, which of the following statements is correct??
A. ?The net present value of the project must be positive for both the firms. B. ?Cyan Inc.'s internal rate of return (IRR) from the project is less than 9 percent. C. ?Tangerine's CFO should use the traditional payback period method to evaluate the project. D. ?Tangerine Inc. should use a discount rate of more than 9 percent for capital budgeting analysis by the net present value (NPV) method. E. ?Cyan Inc.'s required rate of return is greater than 9 percent.