Which of the Following Statements Regarding SEOs Is Most Accurate

Multiple Choice

Which of the following statements regarding SEOs is most accurate?

A) SEO rights offers have higher costs than cash offers.
B) The decision to raise financing externally usually implies that a firm has run out of investment opportunities.
C) Although not as costly as IPOs,seasoned offerings are still expensive.
D) Researchers have found that,on average,the market greets the news of an SEO with a price increase.
E) SEOs,unlike IPOs,do not have underwriting fees.