When Corporations Need to Raise Funds Through Stock Issues, They

question 38

Multiple Choice

When corporations need to raise funds through stock issues, they rely upon the:

• A)Primary market.
• B)Secondary market.
• C)Over-the-counter market.
• D)Centralized NASDAQ exchange.

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Definitions:

Social Institution

An organized pattern of beliefs and behaviors centered on basic social needs, such as government, education, and family.

Education

The process of receiving or giving systematic instruction, especially at a school or university.

Social Exchange Theory

A psychological and sociological theory that explains social change and stability as a process of negotiated exchanges between parties.

Social Interaction

The process by which individuals act and react in relation to others in a societal context.