Questions from Corporate Finance

Q: How do continuous disclosure requirements protect investors?

How do continuous disclosure requirements protect investors?

Q: Briefly explain why short-form prospectuses are permitted by regulators for

Briefly explain why short-form prospectuses are permitted by regulators for a large percentage of seasoned issues, and explain why they have led to the growth in popularity of bought deals.

Q: Where are options traded?

Where are options traded?

Q: How are implied volatilities calculated? What information do they provide?

How are implied volatilities calculated? What information do they provide?

Q: What real options have you been given over the past year and

What real options have you been given over the past year and how valuable were they? What factors do you think influenced your valuation of them?

Q: What tax benefits can occur in an M&A?

What tax benefits can occur in an M&A?

Q: What is the empirical record on the success of M&As

What is the empirical record on the success of M&As in the 1990s?

Q: What is SVAR and why do managers prefer to finance with shares

What is SVAR and why do managers prefer to finance with shares than cash?

Q: Define mortgage bonds, secured debentures, unsecured debentures, and subordinated

Define mortgage bonds, secured debentures, unsecured debentures, and subordinated debt.

Q: If the interest rate for non‐fraudulent bonds is 8 percent

If the interest rate for non‐fraudulent bonds is 8 percent, and chances are that one out of eight bonds is fraudulent, what is the interest rate based on a one‐year investment and assuming the market...