Which of the Following Statements Is FALSE

question 29

Multiple Choice

Which of the following statements is FALSE?

• A) Once a company goes public, it must satisfy all of the requirements of public companies.
• B) Organizations such as the Securities and Exchange Commission (SEC), the securities exchanges (including the NYSE and the NASDAQ), and Congress (through the Sarbanes-Oxley Act of 2002) adopted new standards that focused on more thorough financial disclosure, greater accountability, and more stringent requirements for the board of directors.
• C) The major advantage of undertaking an IPO is also one of the major disadvantages of an IPO: When investors diversify their holdings, the equity holders of the corporation become more concentrated.
• D) Several high profile corporate scandals during the early part of the twenty-first century prompted tougher regulations designed to address corporate abuses.

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Definitions:

Minority Group

A sociological group that is differentiated from others in the same society by cultural, national, racial, religious, or linguistic traits and is often subjected to differential treatment.

Social Power

The capacity to influence, control, or manipulate the behavior, emotions, or thoughts of others within a social context, often tied to one's position, resources, or relationships.

Multicultural Model

A framework that encourages the recognition, respect, and incorporation of diverse cultural backgrounds within a society.

Minority/Majority Relations

The interactions and relationships between groups of smaller and larger proportions within a population, often focusing on issues of power, discrimination, and social justice.