A specialized type of bank that buys the shares from the company preparing an IPO and sells them to investors is known as a(n)________.
A) financial adviser
B) underwriter
C) controller
D) treasurer
E) financial renovator

Question

Quizplus · Accepted Answer

A)An underwriter is a specialized type of bank that buys the shares from the company preparing an IPO and sells them to investors. To spread the risk, a lead underwriter usually assembles a syndicate of other underwriters.
B)An underwriter is a specialized type of bank that buys the shares from the company preparing an IPO and sells them to investors. To spread the risk, a lead underwriter usually assembles a syndicate of other underwriters.
C)An underwriter is a specialized type of bank that buys the shares from the company preparing an IPO and sells them to investors. To spread the risk, a lead underwriter usually assembles a syndicate of other underwriters.
D)An underwriter is a specialized type of bank that buys the shares from the company preparing an IPO and sells them to investors. To spread the risk, a lead underwriter usually assembles a syndicate of other underwriters.
E)An underwriter is a specialized type of bank that buys the shares from the company preparing an IPO and sells them to investors. To spread the risk, a lead underwriter usually assembles a syndicate of other underwriters.

A Specialized Type of Bank That Buys the Shares from the Company