Question

Officials from Vital Corporation are traveling around the country making presentations to prospective investors. The officials...

Officials from Vital Corporation are traveling around the country making presentations to prospective investors. The officials are conducting a

a.road show.

b.prospectus.

c.private offering.

d.secondary offering.

Homework Answers

Answer #1

a. Road show. Road show refers to officials traveling around a country giving presentations to prospective investors, fund managers about the company's securities. This is done before an Initial Public Offering (IPO)

Prospectus is wrong because it refers to details of the investment which is presented to the public. The other choices are wrong since they refer to offering to a private group (private offering), secondary offering refers to offering by an existing shareholder.

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