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sattari [20]
2 years ago
9

during the cooling off period, underwriters would be allowed to do all of the following except a) take indications of interest.

b) advertise the issue. c) publish a tombstone. d) distribute a preliminary prospectus.
Business
1 answer:
ss7ja [257]2 years ago
3 0

During the cooling off period, underwriters would be allowed to do all of the aforementioned except: b) advertise the issue.

<h3>Who is an underwriter?</h3>

An underwriter can be defined as an individual or business firm that is saddled with the responsibility of evaluating and assuming another party's financial risk for an agreed amount of money (fee), which is often paid as a spread, commission, interest, or premium.

This ultimately implies that, an underwriter helps a lender (financial institution) in determining the level of risk associated with an issue.

As a general rule, underwriters would be allowed to do all of the following during the cooling off period:

  • Take indications of interest.
  • Publish a tombstone.
  • Distribute a preliminary prospectus.

In this context, we can reasonably infer and logically deduce that during the cooling off period, underwriters would only be allowed to do all of the aforementioned except distribute sale or advertise the issue.

Read more on underwriters here: brainly.com/question/28026586

#SPJ1

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3 years ago
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The general pattern that consumption of the first few units of any good tends to bring a higher level of utility to a person tha
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3 years ago
On January 1, Applied Technologies Corporation (ATC) issued $550,000 in bonds that mature in 10 years. The bonds have a stated i
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Answer:

1. $550,000

Explanation:

1. It is given in the question that the stated interest rate and the market interest rate both are having the same rate, i.e, 12%.

Hence, the bonds are issued at the face value that is $550,000.

2. The Journal entries are as follows:

(i) On January 1,

Cash A/c      Dr. $550,000

To bonds payable               $550,000

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(ii) On December 31,

Interest Expense A/c   Dr.   $66,000

To cash A/c                                          $66,000

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