​Which of the Following Is a Primary Market Transaction

question 31

Multiple Choice

​Which of the following is a primary market transaction?

• A) ​You sell 200 shares of IBM stock on the NYSE through your broker.
• B) ​You buy 200 shares of IBM stock from your brother.The trade is not made through a broker;you just give him cash and he gives you the stock.
• C) ​IBM issues 2,000,000 shares of new stock and sells them to the public through an investment banker.
• D) ​One financial institution buys 200,000 shares of IBM stock from another institution.An investment banker arranges the transaction.
• E) ​IBM sells 2,000,000 shares of treasury stock to its employees when they exercise options that were granted in prior years.

---

Definitions:

Accurate Decisions

Selections or choices based on correct or precise information, leading to accurate outcomes or resolutions.

Three-Person Groups

Are triads, which introduce complexity in relationships and dynamics compared to dyads, often leading to coalition formation and potential imbalance in influence.

Vroom's Normative Model

A theory of leadership that highlights the importance of situational factors and decision-making procedures in effectively leading a group or organization.

Decision-Making Method

A process or set of processes used by individuals or groups to select the best course of action among several alternatives.