For Many Organisations

question 88

Multiple Choice

For many organisations:

• A) a relatively large number of clients make little contribution to profitability
• B) profit comes fairly evenly from their clients
• C) a relatively small number of customers will generate most of the profitability
• D) A and b are correct

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Definitions:

Shelf Prospectus

A regulatory document filed by a company that allows it to issue shares to the public without having to re-file with the securities commission for each offering.

Syndicated Offering

A financial transaction in which multiple lenders or underwriters jointly provide funds or purchase a security issuance.

Individual Investors

Private investors who buy and sell securities for their personal account, not on behalf of an organization.

Selling Groups

A consortium of financial institutions or broker-dealers who work together to sell a large issuance of securities, such as bonds or stocks, to the public.