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One common explanation why IPOs are in most instances underpriced is: Multiple Choice To cover for the expenses of regulatory supervision Because it benefits venture
One common explanation why IPOs are in most instances underpriced is:
Multiple Choice
To cover for the expenses of regulatory supervision
Because it benefits venture capitalists, who seek an exit
Because all private companies are overvalued
IPOs are risky investments and investors need an incentive to invest in it.
None of the above
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