When a firm issues an IPO, it is said to have:
A) been liquidated due to short selling.
B) gone public.
C) received government funding.
D) been liquidated due to switching costs.
E) issued a dividend.

Question

Quizplus · Accepted Answer

An initial public offering (IPO) is the first time a company offers its shares to the public, allowing it to become a publicly-traded company. Therefore, when a firm issues an IPO, it is said to have "gone public."

When a Firm Issues an IPO, It Is Said to Have