________ is when a company raises capital by selling shares of its stock to the general public for the first time.

Question

Quizplus · Accepted Answer

IPO (Initial Public Offering) is a process by which a company goes public and raises capital by selling shares of its stock to the general public for the first time. Choice A, Preferred stock selling, refers to the sale of a specific class of stock with preferential treatment, which does not necessarily have to be in an IPO. Choice B, Rule 157 Offerings, is not a commonly used term in the context of stock offerings.

________ Is When a Company Raises Capital by Selling Shares