A _____ Is a Certificate of Indebtedness and a _____

question 222

Short Answer

A _____ is a certificate of indebtedness and a _____ is a claim to partial ownership in a firm.

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Definitions:

Equity IPO

Initial Public Offering (IPO) of equity shares, where a company offers its stocks to the public for the first time.

Seasoned Offering

An offering of securities by a company that has previously issued securities to the public and is thus familiar to investors.

Red Herring

A preliminary prospectus distributed to prospective investors in a new issue of securities.

Preliminary Prospectus

An initial document provided by a securities issuer that details the investment offering for potential investors but is not yet approved by the relevant authority.