Which One of the Following Statements Concerning the Primary Market

question 40

Multiple Choice

Which one of the following statements concerning the primary market is correct?

• A) A transaction in the primary market is between two private stockholders.
• B) The first public sale of a company's stock in the primary market is called a seasoned new issue.
• C) The first public sale of a company's stock is called an IPO.
• D) A rights offering is a direct sale of stock to an institution that participates in the primary market.

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Definitions:

Stigmatizing

The act of making someone feel ashamed or disgraced, often by public disapproval or condemnation.

Social Status

refers to the relative rank or position that an individual holds within a social hierarchy, which can be determined by factors such as wealth, occupation, or family lineage.

Criminal Justice System

A network of government agencies and institutions aimed at upholding social control, deterring and mitigating crime, and sanctioning those who violate laws with criminal penalties and rehabilitation efforts.

Victimless Crimes

Offenses which do not directly harm or violate the rights of any specific person, often debated in terms of morality and legality.