Peak Performance Sporting Goods,Inc

question 222

Multiple Choice

Peak Performance Sporting Goods,Inc. ,needs a large amount of funds to expand its operation and open new stores.Jackson is one of a team of finance professionals that is working on Peak Performance's initial public offering.Peak Performance will partner with an investment banker to assist in pricing and selling several million original issue shares of company stock.Jackson just received word that the investment bank is willing to _____________ the issue.This means the investment bank will purchase the entire issue at a discount,and sell it for full price to interested investors.

• A)capitalize
• B)materialize
• C)underwrite
• D)revitalize

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Definitions:

Franchisor

A business entity that grants the right to an individual or group to carry out commercial activities using its brand and model.

Potential Liability

The possibility of incurring legal obligations or debts in the future as a result of current actions, decisions, or circumstances.

Degree of Control

The extent of influence or authority an entity has over its operations, processes, or decisions.

Quality

Pertains to the degree of excellence or superiority that an object or entity possesses, often measured against standards or requirements in a given context.