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Which of the following is true concerning an underwritten public offering of securities? a. While the SEC studies the proposal the company may NOT distribute

Which of the following is true concerning an underwritten public offering of securities?

a.

While the SEC studies the proposal the company may NOT distribute a red herring.

b.

The investment banker bears the risk of an unsuccessful offering.

c.

The board of directors does not have to approve the new issue.

d.

During the lockup period only managers and corporate insiders are allowed to sell any shares purchased in an IPO.

e.

The managing investment banking firm is not liable for any misstatements in the registration statement.

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