Question

A(n) ________ is the event in which companies first issue their authorized shares to the public....

A(n) ________ is the event in which companies first issue their authorized shares to the public.

Seasoned Offering

Secondary Market Transaction

Initial Public Offering

Incorporation

Homework Answers

Answer #1

The right answer is :-

Initial public offering

Explanation :-

Initial public offering is the process of issuing the authorized shares to the public for first time.

Explanation for rejection of other points :-

Seasoned offering is the additional equity issue to public by already publicly traded company.

Secondary market transaction means sale and purchase of already trading shares on stock exchange.

Incorporation means the process of formation of a new company.

So, the right answer is :- initial public offering.

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