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Which is an example of leaving money on the table

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Problem 1: Which of the following is an example of "leaving money on the table".

Option A. An investment banking house makes a very low bid for the right to countersign a firm's new stock offering. The banker is, in effect, "buying the job" with the low bid and thus not getting all the money his firm would usually earn on the job.

Option B. An investment banking house recommends an offer price of $18 per share for an IPO, but the stock sells at $12 per share. The difference of $6 is money left on the table.

Option C. An IPO had an offer price of $15 per share. The closing price at the end of the first day is $18 per share. The difference of $3 x the number of shares is money left on the table.

Option D. An IPO had an offer price of $15 per share. The current market price is $20 per share. The difference of $5 x the number of shares is money left on the table.

Option E. None of the above

Reference no: EM132627547

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