Before Its IPO, Facebook Was an Example of a Private

question 39

Multiple Choice

Before its IPO, Facebook was an example of a private firm.As a private firm, Facebook was

• A)not subject to government regulations and taxation.
• B)run by stockholders and a board of directors.
• C)run by its founder, Mark Zuckerberg.
• D)not legally allowed to raise funds through venture capital firms.

Understand the structure and purpose of the balance sheet and its major components.

Recognize the advantages of different business structures like corporations and partnerships.

Identify the objective of the balance sheet and understand financial statements' roles.

Know the balance sheet equation and how it represents the financial position of a company.