When a firm conducts a seasoned equity offering, it increases an equity account which is an example of a source of funds.

Question

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A seasoned equity offering is a method for a company to raise capital by issuing new shares of common or preferred stock to the public. The proceeds from the sale of these new shares are considered a source of funds and increase the equity account of the firm.

When a Firm Conducts a Seasoned Equity Offering, It Increases