An investment banker agrees to underwrite an issue of 10 million shares of stock for TWResearch, Inc. on a firm commitment basis. The investment banker pays $10.50 per share to TWResearch, Inc. for the 10 million shares of stock. It then sells those shares to the public for $11.20 per share.
Answer:
In a firm commitment offering, the investment banker bears the financial risk and buys the securities from TWResearch to sell to the public at its own terms.
In a best efforts offering, TWResearch, Inc. bears the financial risk and only makes its best efforts to sell the securities without buying them from TWResearch.
Explanation:
With a firm commitment offering, the investment banker enters into an agreement to purchase all the securities from TWResearch at an agreed price, and then, commits itself to selling the securities to the public at its own chosen price. As it pockets the ensuing gain or loss, the investment banker bears all the financial risk. With a best efforts offering, the investment banker does not assume inventory risk, but makes its best efforts in selling the securities. TWResearch bears the residual financial risk since the underwriter forwards to TWResearch all the proceeds from the issue, after deducting its commission.
Answer: 28.2%
Explanation:
Correlation Coefficient = Covariance / (Standard deviation of Security A * Standard deviation of Security B)
0.52 = 0.022 /( 15% * σ)
(15% * σ) * 0.52 = 0.022
15% * σ = 0.022 / 0.52
σ = 0.0423/15%
= 28.2%
Answer:
not me i play buildroyal.io
Explanation:
Answer:
The correct answer is C
Explanation:
Organizational culture is the culture or the system of the shared beliefs, assumptions and values, that governs the people or employees behave in the organization. And these shared values or beliefs have a very strong impact on the people in the organization.
The ultimate and final source of the organization culture is the founders of the organization as they dictate on how they should act, perform their jobs and dress.
Answer:
Gross margin= $40,000
Explanation:
Giving the following information:
Per-unit product cost: $30
Gross margin percentage:40%
Selling and administrative expenses $30,000
Operating income$10,000
We know that:
operating income= gross margin- selling and administrative income
10000= gross margin- 30000
40000= gross margin
