What is the street name for the advertisement issued during the period of time when a firm is waiting for approval from the SEC to issue new securities?
This advertisement typically contains the name of the issuing firm and the list of investment bankers involved in underwriting and marketing the new issue.
A) Indenture
B) Tombstone
C) Red herring
D) Letter of comment
Answer: B
You might also like to view...
The management of Penfold Corporation is considering the purchase of a machine that would cost $440,000, would last for 7 years, and would have no salvage value. The machine would reduce labor and other costs by $102,000 per year. The company requires a minimum pretax return of 16% on all investment projects. The net present value of the proposed project is closest to (Ignore income taxes.):Refer to Exhibit 12B-1 and Exhibit 12B-2 to determine the appropriate discount factor(s) using the tables provided.
A. $(28,022) B. $(79,196) C. $274,000 D. $96,949
Lee Sisters reports income before income taxes of $20,000 during 2014. If beginning inventory was understated by $6,000 and ending inventory was overstated by $2,400, calculate corrected income before income taxes for the year. (Show your work.)
The required rate of return used in the net present value model can also be called the
A) hurdle rate B) minimum acceptable rate of return C) cost of capital D) discount rate E) all of these
EatWell Inc., a chain of sub shops, periodically compares the quality of its food and service with its competitors in order to continually improve its performance. This corporate strategy is known as
A. diversification. B. benchmarking. C. brainstorming. D. horizontal integration. E. vertical integration.