Series 7 practice

An issuer's IPO registration statement has been filed with the SEC but is not yet effective. A customer calls, eager to buy 500 shares, and offers to wire her payment today to lock in an allocation. What may the representative do?

• AAccept the order and the wire, and hold the money in escrow until the registration becomes effective.
• BRecord a non-binding indication of interest and send a preliminary prospectus, but take no payment.
• CAccept a binding order now and collect payment once the registration becomes effective.
• DRefuse to discuss the offering at all until the SEC declares the registration statement effective.