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Leviafan [203]
3 years ago
15

A broker-dealer who acted as financial advisor to a municipality in structuring a new issue now wishes to act as underwriter in

a negotiated offering.
Which statement is TRUE?

A. This is only permitted in competitive bid underwritings

B. The financial advisor is prohibited from acting as the underwriter

C. The broker-dealer must disclose to the issuer in writing all compensation received from the issuer

D. The broker-dealer must inform the issuer in writing that a potential conflict of interest exists
Business
2 answers:
Alborosie3 years ago
5 0

Answer:

The true statement is B. The financial advisor is prohibited from acting as the underwriter

Explanation:

This because a financial advisor to a municipality is paid an advisory fee for assisting a municipality structure a new bond issue, with the aim of obtaining the lowest interest cost for the issuer. An underwriter for a new municipal issue wants to obtain the highest interest rates possible on the bonds, because it is easier to sell. Consequently, there is a conflict of interest between the financial advisor and the underwriter. Also, the Municipal Securities Rulemaking Board rule is that the financial advisor cannot be the underwriter.

uranmaximum [27]3 years ago
4 0

Answer: B. The financial advisor is prohibited from acting as the underwriter

Explanation: The Municipal Securities Rulemaking Board prohibits a financial advisor that was involved in the issue of a municipal security to underwrite offerings. Acting in both capacities produces a conflict of interest. This rule applies to underwriting both competitive and negotiated bids.

The only time a broker can be an underwriter in such a case is when  he/she does not get any compensation for offering this service as an underwriter.

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The direct materials flexible budget variance can be divided into which of the following two​ variances? A. Quantity variance an
Lisa [10]

Answer:

The correct answer is D. Price variance and the quantity variance.

Explanation:

Price systems generally vary according to supply and demand, the real price variation is obtained by a simple indicator called elasticity.

The variations indicate the degree to which a certain level of action established by management has been achieved. Variations can be grouped by department, by cost or by cost element. Like for example price and quantity. The degree to which a variation can be controlled depends on the nature of the standard, the cost involved and the particular circumstances that led to the variation.

6 0
3 years ago
Outline one market entry strategy and why it is key for global marketers. Comment on one of your classmate's posts with a though
notka56 [123]

One market entry strategy that is a key for global marketers is Direct Exporting.

<h3>Why is market entry strategy important?</h3>

Market entry strategies is needed by the  global marketers when they are  selling a product in an international market, especially when  planning and maintenance processes is needed.

One of this strategies is Direct exporting which entails the selling directly of products with chosen market with respect to own resources.

Learn more about market entry strategy  at:

brainly.com/question/16942751

8 0
2 years ago
In even numbered years, texas representatives receive a salary of only ________ per year not including a per diem.
atroni [7]
On even-numbered years, the representative reelection happens. Thus a representative seeking re-election will not receive anything from the government. Only when the representative on the 2year active term will they receive the monthly compensation stipulated by the law which is $7,200 per month excluding per diem. 
3 0
3 years ago
A bank account is growing with continuous compounding at a fixed annual interest rate. the balance of the bank account doubles i
zubka84 [21]

The formula that can be used to find interest rate is Interest rate = (In 2) / 6.

<h3>What is the formula that can be used to determine the interest rate?</h3>

When a bank account is growing with continuous compounding, it means that both the interest accrued and the amount deposited increases continually over a specified period of time.

When the investment doubles, it means that if the future value of the investment is divided by the present value of the investment, the value would be two.

Interest rate = (In FV / PV) / number of years it would take the investment to double

Where:

  • FV = future value
  • PV = present value
  • FV / PV = 2

Interest rate = (In 2) / 6

To learn more about continuous compounding, please check: brainly.com/question/26476328

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7 0
2 years ago
Tasha recently changed employers within the same industry. At her old company, employees routinely took home company pens, penci
kakasveta [241]

Answer:

The correct answer is corporate culture.

Explanation:

Corporate or organizational culture is, basically, the ideology of a company: the set of attitudes, habits, beliefs and behaviors of the human group that makes it up, the way they interact and the way they manage external business transactions.

It can be developed intentionally according to the direction in which the company moves in terms of style, priorities and values, or in a more organic way as a result of the sum of the characteristic features of its members and the nature of the interaction between them.

The culture of a company is reflected in its public image, its dress code, its business hours, its facilities, the benefits of its employees, its sales volume, hiring decisions, the treatment of customers and the degree of satisfaction of them and all other aspects of operations.

7 0
3 years ago
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