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

question 85

Multiple Choice

When a firm has an IPO, it is said to have:

• A) been liquidated due to short selling.
• B) gone public, selling shares on a public stock exchange for the first time.
• C) received government funding.
• D) been liquidated due to switching costs.
• E) issued a dividend.

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Definitions:

Self-Serving Bias

A common cognitive bias that causes individuals to attribute their successes to internal factors while blaming external factors for their failures.

Self-Serving Bias

The common habit of a person taking credit for positive events or outcomes, but blaming outside factors for negative events.

Better-Than-Average Effect

A cognitive bias where individuals overestimate their abilities, qualities, or positive attributes compared to others.

Personal Responsibility

The concept of being accountable for one's actions and accepting the consequences that come with them; underlines the importance of individual action in shaping one's life and society.