On August 19, 2004 Google IPO Offered 19,605,052 Shares at a Price

question 60

Multiple Choice

On August 19, 2004 Google IPO offered 19,605,052 shares at a price of U.S. $85 per share, which were sold in an online auction in a bid to make the shares more widely available. Which of the following statements best describes why these are considered a primary market transaction?

• A) The transaction was between the corporation and investors.
• B) Shares of Google from this time onward could be traded between investors on a stock exchange.
• C) The shares were the first to be privately issued by Google.
• D) Google was at the time a recently founded company seeking capital with which to expand.