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  3. Study Set
    Financial Management Theory and Practice Study Set 4
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    Exam 18: Public and Private Financing: Initial Offerings, Seasoned Offerings, and Investment Banks
  5. Question
    Going Public Establishes a Market Value for the Firm's Stock
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Going Public Establishes a Market Value for the Firm's Stock

Question 10

Question 10

True/False

Going public establishes a market value for the firm's stock, and it also ensures that a liquid market will continue to exist for the firm's shares.This is especially true for small firms that are not widely followed by security analysts.

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