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Which of the Following Statements Is False

Question 139

Multiple Choice

Which of the following statements is false?


A) Nearly all of the money that flows into the stock market goes directly to the corporation issuing the stock and ends up as new plant and equipment.
B) New stock offerings and initial public offerings raise about $200 billion a year,most of which finances capital spending.
C) Nearly all of the money that flows into the stock market buys stock that has already been issued.
D) Bondholders lend money to a company and are therefore creditors rather than owners.

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