Reference no: EM133115416

Answer the following questions:

Direct listings is a process by which a company can go public. Select the correct answer attending direct listings

A. Direct listings is a process more expensive than the conventional IPO

B. Direct listings are also known as "blank check" companies

C. In direct listings, the business directly sells shares to the public

D. Direct listings involve underwriters that guarantee the share sale

E. Direct listings involve the sale of newly-created shares of the company

Underwriting through private offerings: 

A. implies that the stock is sold at a higher price than in IPO

B. are usually brokerage operations

C. are usually initial public offerings

D. more regulated than IPOs to protect investors

E. Both B and D

Select the correct answer about Special-Purpose Acquisition Companies (SPACs):

A. SPACs are companies that are acquired by institutional investors in a direct listing

B. SPACs raise money by listing in the stock market with the aim of acquiring a private company, thus making it public without going through the traditional IPO process

C. In SPACs, investors know ahead of time what company a given SPAC will acquire

D. In SPACs, investors do not know ahead of time what company a given SPAC will acquire

E. Both B and D

Which of the following was NOT the objective of the Glass-Steagall Act?

A. discourage speculation in the financial markets

B. restore confidence in the banking system

C. promote a safe and sound investment banking environment

D. prevention of conflicts of interest and self-dealing

E. all of the above