1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
aniked [119]
2 years ago
14

A company is about to go public with an ipo loading. (initial public offering) and the company founders keep a significant porti

on of the company's stock. this is an example of:____.
Business
1 answer:
gavmur [86]2 years ago
7 0

A company is about to go public with an IPO ​(initial public​ offering) and the company founders keep a significant portion of the​ company's stock. This is an example of signaling.

A public offering in which shares of a firm are sold to institutional investors and typically also to retail investors is known as an initial public offering (IPO) or stock launch. Typically, one or more investment banks will underwrite an IPO and coordinate the shares' listing on one or more stock exchanges.

Underpricing in the IPO market as a signal Investors are aware that only the best can recover the cost of this signal from later issues, which is why some organizations with the best prospects decide it is preferable to indicate their type by underpricing their initial issue of shares.

IPOs assist businesses in raising capital without turning to banks or other financial institutions, which could impose exorbitant interest rates on loans. Additionally, it enables current investors to exit the business without paying capital gains tax.

To know more about initial public​ offering refer to:  brainly.com/question/3068229

#SPJ4

You might be interested in
Screening Model. Assume that the following criteria relevant to the process of screening various project opportunities are weigh
goldfiish [28.3K]

Answer:

Project Alpha 81

Project Beta 81

Project Gamma 83

Project Delta 81

Among the four projects the most likely candidates to be implemented will

be Project Gamma .

Explanation:

Screening Model

1.Calculation for Project Alpha

Important Weight×Weight Score = Weighted Score

Quality 5 × 1 =5

Cost 3 ×7 =21

Speed 7 ×5 =35

Visibility 5 ×3= 15

Reliability 1× 5 =5

Total Score =81

2.Important Weight ×Weight Score = Weighted Score

Calculation for Project Beta

Quality 5 × 3 =15

Cost 3 ×7 =21

Speed 7× 5 =35

Visibility 5×1 =5

Reliability 1 ×5 =5

Total Score =81

3.Important Weight ×Weight Score = Weighted Score

Calculation for Project Gamma

Quality 5 ×3 =15

Cost 3 ×5 =15

Speed 7× 3= 21

Visibility 5×5 =25

Reliability 1×7 =7

Total Score=83

4.Important Weight ×Weight Score = Weighted Score

Calculation for project Delta

Quality 5 ×5 =25

Cost 3 ×3 =9

Speed 7× 5 =35

Visibility 5×1 =5

Reliability 1 ×7 =7

Total Score =81

Therefore among the four projects the most likely candidates to be implemented will

be Project Gamma because it has the highest

score with a score of 83.

6 0
3 years ago
business ethics chapter 4 critics have argued that, from an ethical perspective, altruistic corporate social responsibility (CSR
Gala2k [10]

Answer:

True

Explanation:

Altruistic Corporate Social Responsibility is a philanthropic approach of the company which undermines the interests of the shareholders because such programs are not approved by the shareholders. This clash between the interests of shareholders and the society is the argue that critics quote to protect the shareholders rights.

7 0
3 years ago
_____ refers to what each party gets in exchange for his or her promise under a contract.
wlad13 [49]
Consideration refers to what each party gets in exchange for his or her promise under a contract. A contract has four elements: agreement, consideration, contractual capacity, and legal object. Agreement refers to the contract itself, consideration to the results of the contract, contractual capacity represents your legal ability to sign the contract, and legal object is the purpose of the agreement.
4 0
3 years ago
On January 1, 2018, Jacob Inc. purchased a commercial truck for $48,000 and uses the straight-line depreciation method. The truc
Archy [21]

Answer:

The amount of loss should Jacob Inc. record on December 31, 2019 is $38,000

Explanation:

Truck Value =  $48,000

Annual depreciation =   ( $48,000 -   $8,000) / 8 = $40,000 / 8= $5,000

First year (2018) = $40,000 - $5,000 =  $35,000

Second year (2019) = $35,000 - $5,000 =  $30,000

Loss  = Truck Value (actual) + estimated residual value=  $30,000 + $8,000 = $38,000

6 0
3 years ago
Suzanna decided not to pay federal income tax, saying that paying federal income tax is optional. Describe two possible conseque
Romashka [77]

Answer:

Not filing your return will cost you an additional 5 percent of your unpaid tax bill each month.

Not paying what you owe will add an extra 0.5 percent each month to your overall IRS debt.

If you did not file on time and did not pay any tax you owed, you are subject to both penalties. However, the IRS actually gives you a bit of a break. The maximum penalty that you’ll pay for both in any given month is 5 percent, rather than 5.5 percent.

If you don’t file or pay for five months, the failure-to-file penalty will max out at 25 percent of your unpaid taxes. But the 0.5 percent failure-to-pay penalty will continue to accrue, up to another 25 percent of what you owe, until the tax is paid.

Interest also is charged on the overdue amount

If your due a refund then the only way to get it is to file

Explanation:

7 0
3 years ago
Read 2 more answers
Other questions:
  • An _____________ is a probable economic benefit obtained or controlled by a particular entity as a result of past transactions o
    10·1 answer
  • The ledger of Windsor, Inc. at the end of the current year shows Accounts Receivable $84,000; Credit Sales $830,000; and Sales R
    8·1 answer
  • In a particular country in 1998, the average worker needed to work 25 hours to produce 40 units of output. In that same country
    8·1 answer
  • The mean number of errors per page made by a member of the word processing pool for a large company is thought to be 1.8 with th
    13·1 answer
  • An Intermediate license is available to drivers between the ages of _______
    5·1 answer
  • Which strategy is most likely to help a person gain confidence?
    6·2 answers
  • Audience quality, audience engagement, and editorial quality are most likely to be considered when a media planner ________.
    15·1 answer
  • The aggregate demand curve is downward sloping because as the price level increases the purchasing power of wealth decreases pur
    15·1 answer
  • On February 1, 2020, Nash's Contractors agreed to construct a building at a contract price of $5,700,000. Nash's estimated total
    15·1 answer
  • Bank a has total deposits of $125 million and total reserves of $26 million. the required reserve ratio is 15 percent. the bank
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!