Which of the following is not an advantage of going public? - 6816

Solution Posted by
UoPExpert

UoPExpert

Rating : (2)F
Solution Detail
Price: $1.30
  • From: ,
  • Posted on: Fri 06 Apr, 2012
  • Request id: None
  • Purchased: 0 time(s)
  • Average Rating: No rating
Request Description

Which of the following is not an advantage of going public?

A.  Going public gives existing shareholders a chance to sell portions of their shares as part of the IPO giving them a cash return on their investment and allows them to diversify their investment portfolios.

B.  Going public enables a firm to raise additional capital.

C.  Going public generally brings a lower price in the public market than in the venture capital or private placement markets.

D.  Going public achieves liquidity and diversification for current shareholders

Solution Description

Which of the following is not an advantage of going public?