Katy and Lucy Enter into a Contract That Falls Within

question 28

Multiple Choice

Katy and Lucy enter into a contract that falls within the provisions of the UETA.Under the UETA,"an electronic sound,symbol,or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record" is

• A)an e-document.
• B)an e-signature.
• C)an e-transaction.
• D)a record.

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Definitions:

IPO

Initial Public Offering, the process by which a private company offers shares to the public for the first time.

Private Placement

An offering of securities not made through the public market, but rather directly to a select group of investors or institutions.

Firm Commitment Basis

An underwriting method where an underwriter agrees to buy all securities offered by the issuer and assumes full risk of selling them to investors.

Rights Offering

A strategy by which companies raise additional capital, by giving existing shareholders the right to purchase additional shares at a predetermined price, usually at a discount.