The Following Is an Outline of Certain Potential Benefits as Well

question 59

Multiple Choice

The following is an outline of certain potential benefits as well as costs associated with the cross-border listings of stocks: (i) the company can expand its potential investor base
(ii) issues involving the disclosure and listing requirements
(iii) creates a secondary market for the company's shares
(iv) volatility spillover from the overseas markets
(v) liquidity
(vi) control of the company by foreigners
(vii) enhances the visibility of the company's name and its products in foreign marketplaces
Which of the following represent all the potential benefits of the cross-border listings of stocks?

• A)(i),(ii),and (iii)
• B)(ii),(iv),and (vi)
• C)(i),(iii),(v),and (vii)
• D)(iv),(v),(vi),and (vii)

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Definitions:

Truth in Lending Act

A federal law designed to promote informed use of consumer credit by requiring disclosures about terms and costs.

Cease-and-Desist Order

A legal injunction issued by a court or government agency ordering an individual or entity to stop an alleged illegal activity.

Deceptive Advertising

Marketing strategies that trick or misinform customers regarding the qualities, features, or advantages of a product or service.

Cease-and-Desist Order

A legal injunction ordering an individual or organization to stop engaging in a specified activity or behavior.