SIE Exam Question 568: Answer and Explanation

Question: 568

Which of the following is a type of public offering auction in which the price of the offering is set after taking in all bids to determine the highest price at which the total offering can be sold?

• A. American auction
• B. Canadian auction
• C. Dutch auction
• D. European auction

Correct Answer: C

Explanation:

A Dutch auction is a type of public offering auction in which the price of the offering is set after taking in all bids to determine the highest price at which the total offering can be sold.