______ Are Created by Groups Such as Corporations, Unions, Environmentalists

question 89

Multiple Choice

______ are created by groups such as corporations, unions, environmentalists, and other interest groups for the purpose of gathering money and contributing to political candidates that favor the groups' interests.

• A)Civil rights organizations
• B)Nongovernmental organizations
• C)Political action committees (PACs)
• D)Electoral colleges

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Definitions:

Standby Underwriting

A type of underwriting agreement in which the underwriter agrees to buy any shares not purchased by investors during a public offering.

Underwriting Syndicate

A group of underwriters who come together to share the risk and to help sell an offering of securities to the public.

Rights Offering

A financial opportunity offered by a corporation to its existing shareholders to purchase additional shares directly from the company at a discounted price.

Firm Commitment

A guarantee given by an underwriter to purchase all the unsold shares in an initial public offering or a secondary offering.