A(n) _____ exists when a company offers its stock to the general public
A) ESOP
B) IPO
C) MBO
D) LBO

Question

Quizplus · Accepted Answer

An IPO (initial public offering) is when a company offers its stock to the general public for the first time. ESOP (employee stock ownership plan) is a benefit program for employees that allows them to own stock in their company. MBO (management buyout) is when the existing management team buys out the owners of a company. LBO (leveraged buyout) is when an outside group of investors buys a company using a significant amount of debt. None of the other options fit the description given.

A(n) _____ Exists When a Company Offers Its Stock to the General