In Terms of Costs of Issuing Equity, Professor Clifford W

Multiple Choice

In terms of costs of issuing equity, Professor Clifford W.Smith finds that the ranking of methods, from cheapest to most expensive, is:

A) rights issue with standby underwriting, equity issue with underwriting, pure rights issue.
B) pure rights issue, rights issue with standby underwriting, equity issue with underwriting.
C) pure rights issue, preferred stock and debt issue with underwriting for an IPO, rights issue with standby underwriting.
D) equity issue with underwriting, rights issue with standby underwriting, pure rights issue.
E) equity issue with underwriting, pure rights issue, rights issue with standby underwriting.