IBM Issuing New Shares of Common Stock Would Be Classified

question 70

Multiple Choice

IBM issuing new shares of common stock would be classified as:

• A)a new seasoned issue.
• B)an initial public offering.
• C)a secondary market transaction.
• D)A and B.

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Definitions:

Aggregate Demand

The total demand for all goods and services in an economy at different price levels during a specific time period.

Aggregate Supply Model

An economic model that represents the total supply of goods and services that firms in an economy are willing and able to produce at a given overall price level.

Government Expenditures

Financial spending by the government which includes spending on goods and services, social welfare, public infrastructure, and defense.

Short Run

A period in economic theory during which at least one input (like capital) is fixed, contrasting with the long run where all factors of production are variable.