Which of the following is NOT a potential disadvantage associated with a firm going public?
A) A more liquid market for owners to sell their ownership shares.
B) Because shares are more dispersed,management must work with a more diverse group of stakeholders.
C) The firm faces more rigorous disclosure of its financial situation,and this disclosure requirement has both monetary and time costs.
D) Management needs to more actively manage shareholder expectations and deal with some investors who have a short-term focus on profitability rather than long-term growth.
Correct Answer:
Verified
Q40: From a firm's perspective,preferred shares are at
Q41: In the U.S.,for issues less than $500
Q42: Non-U.S.firms may list their equity securities on
Q43: In the short-run,firms tend to stick to
Q44: Which of the following is NOT commonly
Q46: When a firm needs to raise money
Q47: $1.00 (one dollar)invested in a portfolio of
Q48: Which of the following is NOT a
Q49: Advantages to going public with a firm
Q50: _ tend to invest locally and recognize
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents