1. A reason why a start-up firm may want to have their securities sold privately is to avoid investors who are risk averse.

Group of answer choices

True

False

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Question 2 1 pts

2. The key benefit(s) for a firm to have its securities traded on the NY Stock Exchange is/are to:

Group of answer choices

help raise capital.

publicize fair prices.

provide a continuous market, publicize fair prices, and help raise capital.

allow transactions to be completed electronically.

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Question 3 1 pts

3. An example of an indirect transfer is through an angel investor.

Group of answer choices

True

False

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Question 41 pts

4. When looking at opportunity costs, the spread between investment options is largest when comparing:

Group of answer choices

common stocks to treasury bills.

long-term corporate bonds to long-term government bonds.

treasury bills to inflation.

long-term corporate bonds to common stocks.

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Question 51 pts

5. In facilitating the raising of capital for firms, an investment banker such as Goldman-Sachs serves many functions except:

Group of answer choices

buy securities from the firm with the intent to resell them at a higher price.

operate in a syndicate.

act as a venture capitalist.

perform underwriting, distribution and advising.