Which of the Following Is Generally NOT True and an Advantage

question 10

Multiple Choice

Which of the following is generally NOT true and an advantage of going public?

• A) Facilitates stockholder diversification.
• B) Increases the liquidity of the firm's stock.
• C) Makes it easier to obtain new equity capital.
• D) Establishes a market value for the firm.
• E) Makes it easier for owner-managers to engage in profitable self- dealings.

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Definitions:

Online Retailing

The selling of goods and services through the internet, enabling customers to shop from anywhere without the need for a physical store presence.

Full Line Discount Stores

Retail outlets that offer a wide range of products at reduced prices, covering various categories from groceries to electronics.

Specialty Discount Stores

General merchandise outlets that offer a wide selection of merchandise within a single category.

Virtual Reality

An immersive digital environment that can simulate physical presence in places in the real world or imagined worlds.