Companies Issue Stock Because of All of the Following Except

question 61

Multiple Choice

Companies issue stock because of all of the following except:

• A) it allows the owners to raise capital without having to borrow.
• B) it allows the owners to share the risk of failure.
• C) it allows the owners to turn an illiquid asset into a liquid one.
• D) it allows companies to file bankruptcy.

---

Definitions:

Job Preview

A technique used in the recruitment process to give potential employees a realistic overview of what a job entails before they decide to accept a position.

Job Specifications Plan

Descriptions of the duties, responsibilities, required qualifications, and reporting relationships of a specific job.

Job Description Plan

A structured outline that details the roles, responsibilities, duties, and qualifications required for a specific position within an organization.

Domestic Quantity Demanded

The total amount of a good or service that consumers in a specific country are willing and able to purchase at a given price.