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Director
Joined: 17 Sep 2005
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Question Stats:
0% (00:00) correct
 0% (00:00) wrong based on 0 sessions
Please find below:
Regards,
Brajesh
Attachments
CR_IPO.GIF [ 10.2 KiB | Viewed 166 times ]
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Current Student
Joined: 29 Jan 2005
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Looks like (D)
If resources become more expensive, then the overhead costs increase thereby reducing the future profit potential of the company. This could deter stockholders from buying future shares.
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Director
Joined: 26 Sep 2005
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Location: Munich,Germany
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D as well.
If the company's raw materials will be expensive in the future then it gives reasons for investors to hammer the stock price and so that the IPO will open at a premium is not guarunteed.
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Senior Manager
Joined: 07 Apr 2006
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D - it shows they will be less likely to produce a profit moving forward.
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Senior Manager
Joined: 09 Aug 2005
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shahnandan wrote: D as well.
If the company's raw materials will be expensive in the future then it gives reasons for investors to hammer the stock price and so that the IPO will open at a premium is not guarunteed.
I have a problem with D but C is not partcularly goood as well
D says cost side will increase- take oil for example raw material is expensive but oil companies are making a killing.
also we know raw material prices could go up within next month but may come down 3 months later
thus kicking the stock up
what is the source please?
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CEO
Joined: 20 Nov 2005
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Schools: Completed at SAID BUSINESS SCHOOL, OXFORD - Class of 2008
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D
provides a reason to believe that stock prices will not rise.
_________________
SAID BUSINESS SCHOOL, OXFORD - MBA CLASS OF 2008
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Senior Manager
Joined: 20 Feb 2006
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D offsets the effect stock-rise due to increases profits by indicating that profits will go down because of increased prices of raw material..
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VP
Joined: 14 May 2006
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easy D... if the profits are bothered by something, in this case raw materials, then the IPO prices go south... used my finance knowledge here... hehe
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Director
Joined: 06 May 2006
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Latching on to the D bandwagon as well...
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Director
Joined: 18 Jul 2006
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Straight D
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SVP
Joined: 30 Mar 2006
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Will go with D.
Beacuse of this the stock prices may not rise.
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Manager
Joined: 15 Nov 2005
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Location: Italy
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A weaken the argument
B could be
C Strenghten the argument
D Could be
E out of scope
my choice is down to B and D giving then a closer look B does not really help us just describe a trend while D give us reason for an eventual price drop
_________________
“If money is your hope for independence you will never have it. The only real security that a man will have in this world is a reserve of knowledge, experience, and ability.â€
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Senior Manager
Joined: 15 Aug 2004
Posts: 330
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Jumping on D Train...
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