Answer: b. gives the firm a built-in market for new securities.
Explanation:
Rights offering are issued by companies when such companies wants to generate additional capital. This may be necessary when such company wants to meet its financial obligations and therefore need extra capital.
A rights offering gives the firm a built-in market for new securities as the security holder are already aware of the company and just buys additional securities.
Answer:
A. Real options must have positive value becasue they are only exercised when doing so would increase the value of the investment.
B. If exercisung the real option would reduce value, managers ca allow the option to go unexercised.
D, Having the real option but not the obligation to act is valuabale.
Explanation:
Because real option are options or choices made available to managers of a firm concerning investment their choices are meant to bring about a positive growth and return on the investments.
So if any of the choices presented to these managers are going to reduce the values or have other negative impacts on the investment and its value, then the option which is the real option or ideal option canbe forgone.
Cheers.
Check its weight. Then it will be easier for us
Answer:
a. was largely driven by the desire for expanded overseas trade
Explanation: