In which of the following types of underwriting commitments are the underwriters acting as agents quizlet?

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Which of the following types of underwriting commitments are the underwriters acting as agents?
Which of the following are types of underwriting commitments?
When an underwriter engages in a firm commitment the underwriter is acting as?
Which is a type of firm commitment underwriting quizlet?

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The best answer is D.
In a firm commitment underwriting, the underwriter buys the issue outright from the issuer, with the intention of reselling the issue to the public at a profit. Thus, the underwriter is a principal in the transaction, and is taking full financial liability.

In a best efforts underwriting, the underwriter acts as agent, promising to use his best efforts to sell the issue, but takes no financial liability. In a best efforts - all or none underwriting, the underwriter acts as agent, using his best efforts to sell the issue, but takes no financial liability. However, if the entire amount is not sold, then the offering is canceled.

In a stand-by underwriting, the underwriter agrees to purchase any unsubscribed shares in a new issue rights offering on a firm commitment basis.

All underwritings that use broker-dealers to distribute the securities are "managed" offerings - they are managed by the syndicate manager.

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Which of the following types of underwriting commitments are the underwriters acting as agents?

I, II, and IV (The types of underwriting commitments are: Firm commitment (underwriter acts as principal), Best Efforts, Best Efforts-All or None (underwriter acts as agent in both), and Stand-By (underwriter acts as principal to buy unsubscribed shares in a rights offering from the issuer).

Which of the following are types of underwriting commitments?

There are three main types of commitment by the underwriter: firm commitment, best efforts, and all-or-none.

When an underwriter engages in a firm commitment the underwriter is acting as?

Firm commitment (underwriter acts as principal), 2. Best Efforts, Best Efforts-All or None (underwriter acts as agent in both), 3.

Which is a type of firm commitment underwriting quizlet?

Which is a type of firm commitment underwriting? The best answer is B. Stand-by underwritings are used in connection with rights offerings. If all of the new shares are not subscribed by the existing shareholders, the issuer has an underwriter stand-by on a firm commitment basis to purchase any unsubscribed shares.