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A company raises money in the capital markets by issuing a bond that is offered for sale by the issuing bank. Which of the following best describes this deal?
Suggested Answer: A
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13 comments · newest first
MA
Marge
1 year ago
Really? I thought drawdowns were more common in these situations.
WI
Willard
1 year ago
No way, it's not an overdraft transaction!
PR
Precious
1 year ago
Wait, isn't this also a bit like a secondary market deal?
KA
Kallie
1 year ago
I agree, primary market makes the most sense here.
DO
Dortha
1 year ago
It's definitely a primary market deal!
NO
Noah
1 year ago
Overdraft transaction sounds wrong here, but I'm not completely confident about the difference between primary and secondary markets.
TA
Tamie
1 year ago
I practiced a similar question, and I think it was about how bonds are sold in the primary market. So, I might go with A.
KY
Kyoko
1 year ago
I'm a bit unsure, but I remember something about primary and secondary markets. Isn't a primary market where new securities are sold?
AL
Alverta
1 year ago
I think this is a primary market deal since the company is issuing the bond for the first time.
BR
Britt
1 year ago
I'm a bit confused by the wording of the question. I'll need to read it over a few times to make sure I understand the implications of each answer choice.
TA
Tammi
1 year ago
This question seems straightforward, I think I can handle it.
KA
Karl
1 year ago
Okay, I've got this. The question is asking about a process that provides reasonable assurance regarding the achievement of objectives. That sounds like it's describing internal control, so the answer must be B. Control Process.
SH
Shenika
1 year ago
Brainstorming makes total sense here - you can't solve a problem until you understand all the potential root causes. I'm pretty confident about option C.