Which of the Following Statements Is FALSE

question 22

Multiple Choice

Which of the following statements is FALSE?

• A)More often than not,firms return to the equity markets and offer new shares for sale,a type of offering called a seasoned equity offering (SEO).
• B)Usually,profitable growth opportunities occur throughout the life of the firm,and in some cases,it is not feasible to finance these opportunities out of retained earnings.
• C)When a firm issues stock using an SEO,it follows many of the same steps as for an IPO.The main difference is that a market price for the stock already exists,so the price-setting process is not necessary.
• D)A firm's need for outside capital usually ends at the IPO.

---

Definitions:

ACT

A standardized test used for college admissions in the United States, measuring skills in English, mathematics, reading, and science, with an optional writing test.

Standard Score

A score that has been transformed to fit into a standard scale, allowing comparison across different tests or assessments.

Sten Score

A standardized test score that typically ranges from 1 to 10, used to compare an individual's performance on a test to a normative population.

Standard Deviation

It measures the dispersion or spread of a data set, indicating how much the values in the set deviate from the mean on average.