Most companies do not have the resident expertise to complete an initial public offering (IPO), so they hire an investment banker to help accomplish the sale. Describe three significant tasks that an investment banker provides
What will be an ideal response?
Answer: First, the investment banker provides talent and expertise to structure the sale of the newly issued shares while complying with all SEC regulations. Second, the investment banker prepares the prospectus, a document that provides potential buyers with information about the company and the impending sale. Third, the investment banker makes sure that all relevant information is disclosed prior to the sale. If material information is not disclosed prior to the sale, both the issuing company and the investment banker may be liable if a lawsuit is brought by those who bought the newly issued shares.
You might also like to view...
We must move ____ with our decision to hire a new director of human resources
A) foreword B) forward C) foreward D) ?forword
Briefly distinguish between sensitivity analysis, scenario analysis, and simulation
What will be an ideal response?
Which of the following is true of purchasing?
A) It can have a significant impact on total supply chain costs. B) It is critical to satisfy employees' needs and expectations. C) The delivery of goods and services is the responsibility of the purchasing function of a supply chain. D) The principal goal of purchasing is to source products from a single supplier to avoid capacity risks.
A period's beginning inventory is equal to the prior period's ________.
What will be an ideal response?