BUS 405 Week 2 Chapter 5 The Stock Market

 This file of BUS 405 Week 2 Chapter 5 The Stock Market contains:


 1. High Color Detergent is issuing new shares of stock which will trade on NASDAQ. If Sue purchases 300 of these shares, the trade will occur in which one of the following markets?

 2. Wilson just placed an order with his broker to purchase 500 of the outstanding shares of GE. This purchase will occur in which one of the following markets?

 3. Hi-Tek Shoes is a private firm that has decided to issue shares of stock to the general public. This stock issue will be referred to as a(n):

 4. A firm that specializes in arranging financing for companies is called a(n):

 5. The process of purchasing newly issued shares from the issuer and reselling those shares to the general public is called:

 6. The financing provided for new ventures that are frequently high-risk investments is referred to as "venture _______".

 7. Marco Painting Supplies is a publicly-traded firm with 250,000 shares of stock outstanding. If the firm issues an additional 10,000 shares, those shares will be referred to as a(n):

 8. Under the provisions of a general cash offer, shares of stock are offered to:

 9. A public offering of securities which are offered first to current shareholders is called a(n):

 10. The difference between the price an underwriter pays an issuer and the underwriter's offering price is called the:

 11. When a group of underwriters jointly work together to sell a new issue of securities, the underwriters form a(n):

 12. When an underwriting syndicate purchases an entire issue of new securities and accepts the risk of unsold shares, the underwriting is known as a _____ underwriting.

 13. When the issuer assumes the risk for any shares the underwriters cannot sell, the underwriting is known as a _____ underwriting.

 14. When the price of newly issued shares is determined by competitive bidding the underwriting is known as a _____ underwriting.

 15. Which one of the following is the federal agency which regulates the financial markets in the U.S.?

 16. The document that must be prepared in order to receive approval for a stock offering is called a:

 17. A preliminary document provided to investors who are interested in a stock offering is called a(n):

 18. A securities dealer is a(n):

 19. Which one of the following best describes a broker?

 20. Which one of the following prices will an individual investor receive if he or she sells shares of Microsoft?

 21. Which one of the following prices will an investor pay to purchase shares of stock that are currently outstanding?

 22. The profit a dealer makes on a purchase and resale of shares of stock is called the:

 23. A private equity fund:

 I. is set up as a limited partnership

 II. usually use a 2/20 fee structure

 III. place no constraints on manager compensation

 IV. typically have a stated life of 7 to 10 years

 24. Which of the following is correct regarding the compensation paid to private equity fund managers?

 25. An owner of a trading license on the NYSE is called a:

 26. An NYSE Supplemental Liquidity Provider:

 I. can trade the same stocks as designated market makers

 II. can trade only from offices outside the exchange

 III. must quote bid or ask quotes a certain % of the day

 IV. are paid 30 cents per 100 shares traded

 27. The party who serves as a dealer for a few securities on an exchange floor and is obligated


https://bitly.com/1rubSof

Give yourself a breather every now and again. Try not to study too hard, as this can be very stressful. Parents might not think there is such a thing as too much studying, but it's the truth. Shake off those perfectionistic tendencies and get a fresh perspective. You will be healthier in the long run.