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The Main Risk That Investment Banks Face from Their Underwriting

Question 87

Multiple Choice

The main risk that investment banks face from their underwriting services is:


A) The client will not pay for the service
B) The company issuing the securities will go bankrupt
C) The price investors pay for the security is less than the guaranteed price to the issuing firm
D) The price paid by investors exceeds the guaranteed price to the issuing firm

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