This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: How does the size of an issue affect the fees charged by underwriters? (Read 71 times)

cagreen833

  • Hero Member
  • *****
  • Posts: 544
on: Jul 9, 2019
How does the size of an issue affect the fees charged by underwriters?
◦ Large issues have substantially larger direct costs and, thus, must charge a larger spread in order to be profitable for the underwriter.
◦ Although large issues generally have a smaller spread, the large number of shares released means that the total fees are somewhat larger than for smaller issues.
◦ Large issues generally have a similar spread to small issues and thus attract much greater fees.
◦ Large issues have a reduced spread, which means that the total fees are generally the same as for smaller issues.
Fundamentals of Corporate Finance ¦ Berk, DeMarzo, Harford ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by cagreen833 on Jul 9, 2019

sarah_brady415

  • Sr. Member
  • ****
  • Posts: 328
Reply #1 on: Jul 9, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 55% of students answer this correctly


cagreen833

  • Member
  • Posts: 544
Reply 2 on: Jul 9, 2019
Wow, this really help

Liamb2179

  • Member
  • Posts: 365
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

According to the American College of Allergy, Asthma & Immunology, more than 50 million Americans have some kind of food allergy. Food allergies affect between 4 and 6% of children, and 4% of adults, according to the CDC. The most common food allergies include shellfish, peanuts, walnuts, fish, eggs, milk, and soy.

Did you know?

If you use artificial sweeteners, such as cyclamates, your eyes may be more sensitive to light. Other factors that will make your eyes more sensitive to light include use of antibiotics, oral contraceptives, hypertension medications, diuretics, and antidiabetic medications.

Did you know?

For pediatric patients, intravenous fluids are the most commonly cited products involved in medication errors that are reported to the USP.

Did you know?

There are 60,000 miles of blood vessels in every adult human.

Did you know?

Before a vaccine is licensed in the USA, the Food and Drug Administration (FDA) reviews it for safety and effectiveness. The CDC then reviews all studies again, as well as the American Academy of Pediatrics and the American Academy of Family Physicians. Every lot of vaccine is tested before administration to the public, and the FDA regularly inspects vaccine manufacturers' facilities.

Two mechanisms that affect cell shape and movement. Two mechanisms that affect cell shape and movement.
Killer Whale - Size comparison to an average human. Killer Whale - Size comparison to an average human.
Electrostatic interactions of oppositely charged ions of salt Electrostatic interactions of oppositely charged ions of salt
Key anatomical features of Homo habilis include reduced facial size, a parabolic palate, and some br Key anatomical features of Homo habilis include reduced facial size, a parabolic palate, and some br
Schemas Affect How We Encode and Remember Schemas Affect How We Encode and Remember
Population size, 1970 - 2050 Population size, 1970 - 2050
Video: Protein catabolism (Krebs cycle) and Protein anabolism (protein synthesis)

For a complete list of videos, visit our video library