What does "public offering price" denote?

The term "public offering price" refers specifically to the price at which newly issued securities are offered to the public. This is the amount that investors pay to acquire these new securities, thus directly aligning with the first part of the correct answer. Additionally, it is relevant in the context of initial public offerings (IPOs), where the public offering price is set to reflect factors such as demand, market conditions, and the issuing company's valuation at the time of the offering.

In essence, the public offering price is critical because it determines how much investors will need to invest to purchase the new shares being offered by a company. Whether it's a stock, bond, or another type of security, this price serves as the entry point for investors looking to buy into the offering.

Combining both aspects—what an investor pays for a new security and the associated cost of the initial public offering—confirms that the correct answer encompasses both of these critical points. This understanding is essential for anyone involved in securities and investments, as it connects to broader concepts like market pricing and investor participation in corporate financing.